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HRA 02/02/2006 - 6230rYl^K-�` CITY DFFR0LEY HOUSING & REDEVELOPMENT AUTHORITY MEETING Thursday, February 2'2OU0.7:30P�K4. AGENDA / LOCATION: Council Chambers (upper level) CALL TO ORDER: ROLL CALL: APPROVAL OF MINUTES: December 1, 2005 / « / V ` / ' CONSENT AGENDA: ] v � 1 `JConsider (�|@innS�k Expenses —.....—.'.—. ��.''—..--.—''--_ ........................... �_.__ Review and Approval Of Budget for 2O00 ........... ................. �........... ............ ............. —2 m/ Review & Approve Development Agreement with Blue Print Homes ...... �................................... 3 \( Termination ofK4nG|ynn/Lnfthous8 Revenue Note —.—.—.. .............................. ............... ^� Islands Of Peace Update ....... ........... .................................. ..................... - ............ o �( Monthly Housing Report ............... .................... _............ _........ ........... __ O CITY OF FRIDLEY HOUSING AND REDEVELOPMENT AUTHORITY COMMISSION DECEMBER 1sT, 2005 CALL TO ORDER Chairperson Commers called the Housing and Redevelopment Authority Meeting to order at 7:30 p.m. ROLL CALL: Members Present: William Holm Pat Gabel Larry Commers Virginia Schnabel John Meyers Others Present: Paul Bolin, Assistant HRA Director Richard Pribyl, Finance Director /Treasurer Gay Cerney, HRA Attorney APPROVE HRA COMMISSION MEETING MINUTES - November 3rd, 2005. MOTION by Commissioner Holm, seconded by Commissioner Gabel, to approve the minutes as presented. UPON UNANIMOUS VOICE VOTE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED. CONSENT AGENDA: • Consider Claims and Expenses MOTION by Commissioner Schnabel, seconded by Commissioner Meyer, to approve the Consent Agenda. UPON UNANIMOUS VOICE VOTE, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED. ACTION: • Review and Approval of Draft Budget for 2006 Mr. Pribyl asked for a motion to defer the budget for 2006 until January as staff is waiting for the tax increment values from Anoka County. The County has changed their software that runs the property tax data and have been unable to run a parcel inventory report for each of our tax increment districts. This report is used to create our TIF related revenues and payments. Currently county staff is programming this information and it should be available shortly. To date there are no changes from the information provided to you at the November 3rd, 2005 meeting. Staff recommends to postpone the approval of the 2006 budget until the January meeting. MOTION by Commissioner Gabel, seconded by Commissioner Schnabel, to postpone the Review and Approval for the Draft Budget for 2006 until the January 5th, 2006 meeting. Commissioner Meyer questioned who is required bo comply to the prevailing wages. All contractors, subcontractors etc. and who will enforce 0r inform those who need tOcomply. Ms. Cerney replied that she will research the language of the city ordinance and to what extent those involved with the construction site are required tocomply. The contract does state that they must work with the contractors and subcontractors so this would be implacable to all employees. Commissioner Commers asked that counsel review the contract, get it into compliance and clarify the language. Commissioner Meyers questioned the nine stipulations listed in the agreement and mentioned that only two nf the stipulations apply to Gateway West. Is this standard stipulation and are weinjeopardy with State or Federal if the stipulations are not relative to Gateway West. Ms. Cerney stated that the objectives are laid out in the HRA Redevelopment plan and are set up for public purpose for the project. The stipulations can be adjusted bD list only those that apply bothe development ifSVdesired. Commissioner Meyers questioned the letter nf credit on page 11 and that it is for the entire 10 lots. It is unclear if after the first three lots are developed are more lots required to be purchased and what happens tO the balance of the funds. Ms. CerneyStdted that this only applies t0the payment schedule Blue Print Homes has to agree t0. Blue Print Homes only has an obligation to make quarterly payments. HRA will draw 0n the letter 0f credit dS the closings occur. Commissioner Meyers asked if the developer has the option to halt the program after the first five lots are developed and cease activity. Ms. Cerney clarified that after the first three lots are developed, the developer is required to take two lots each quarter. The developer is obligated to develop all 16 lots. Commissioner Meyers asked for clarification in the Development Agreement where it sb]i8S on page 15 of the contract that HRA needs to approve the construction based on the city building codes, warranty etc. The contract it states that construction plans shall not be objected... etc. that could have been raised et the preliminary plan review. HRA has seen some preliminary plans and evidently approved the plans. By this wording in the Development Agreement, if we want to make any changes to the construction documents w8 need todo5n now before itis too late. The typical floor plans have been submitted and have we seen enough t0 comply with requirements. Ifvve want t0 object with anything we have already seen, we best do so now before we see final construction plans. Ms. Cerney stated that this is a reasonable concern but not intended if items are not in the preliminary plan. HRA can object to a construction plan if items are something they did not see in the preliminary plan. This isa good concern. Mr. Bolin clarified that the plans submitted are potential homes Blue Print Homes plans to build on site. If someone wanted to build 3 split level home, for example, it would not fit with the vision of the area and could beobjected. Some details will b8 different but driven bv the buyer. HRA will get 10nice homes kept in the spirit of the home plans already reviewed bv the HRA. Commissioner Commers stated that the final construction documents with details will be submitted to the HRA with specifications for each home. submitted a letter asking for HRA to extend the current agreement contract to March 31, 2006. Currently HRA is under no monitory obligation with Bancor and this letter would outline the task each group would perform. A vote would be taken at a later date to decide whether to continue business with Bancor. Staff recommends extending the current contract with Bancor to March 31, 2006. Mr. Bolin stated that to determine feasibility and demand for multi level condominiums more than four stories a different developer may need to be hired. Staff recommends the authorization to spend $15,000 to research the housing market for the Island of Peace Project. This study will identify the potential demand for sales of properties and what type of housing product will sell on this site. The study would also compare results to similar projects in the Metro Area. Mr. Bolin stated that this study will help determine if a multi story housing project is suitable for this site. If multi story condominiums are not suitable, other options will need to be explored. If multi story condominiums will be in demand, HRA will need to work with a different developer than Bancor. Bancor admits that they would not be the preferred contractor if the project required higher than four story buildings. Commissioner Commers questioned what led the group to the conclusion that multi story condominiums would be feasible on this site. Mr. Bolin stated that last May, councilmember Billings mentioned that a number of multi level buildings with underground parking would be great in this area. Bancor submitted drawings at the last joint meeting but most people who attended the meeting wanted more upscale, higher price point buildings. Commissioner Schnabel responded that that she was present at the joint meeting and as she was reading into the project, Bancor was using existing buildings to create lower income rental units, followed by single family housing with a vacant piece of land closest to the river. Banco asked for reaction of those present and what they would like to see on this property. Many replied that a hi rise condominium would be great. There was a lot of discussion regarding Bancors presentation and most people were not thrilled with what they saw. The reaction of many at the meeting was that Bancor did not present the vision in the beginning of the project. Commissioner Meyers concurred with Commissioner Schnabel. Bancor was taking existing buildings and rehabbing them uniquely to rent out at lower rates. He commented that if Bancor is not the right developer, why we would want to extend their contract. Commissioner Commers stated that Bancor has presented a research study if a hi -rise is not feasible on this site we may want Bancor as a back up plan. We will continue to do the research to find out what is the best development plan to put on this property. Commissioner Meyers commented Bancor presented an interesting plan. Bancor did not say that a hi- rise is not feasible, but it was beyond their ability. Commissioner Schnabel stated that some present at the meeting thought the drawing was dull and not interesting. Bancor's presentation was so different from the May meeting. Bancor did not pick up on what we had planned for the area. If Bancor would like to submit another plan, it will not cost HRA to extend their contract and try to review the property again. In the meantime, have another company do an analysis to find other ideas for the property. Mr. Bolin thought that Bancor did their homework and presented a reasonable design and product mix. This was the idea to partner with them in the first place, but at the joint meeting HRA and Bancor was not on the same page. Extending the contract will not cost any additional funds and an independent analysis would be worth the effort. Currently Bancor and HRA do not have the same vision on the total of 33 loans were given to residents and ZJ from the HRA revolving and deferred |0dn fund. Last year total loans were 16; we have exceeded last year totals and have the month of December bo go yet. Mr. Bolin reported that the funding sources last nOOOth were $72,000 and the new total is over $400,000 for the year. Mr. Bolin reviewed the monthly service report. $22,000 was received in principal, $3,500 in interest with an ending principal balance of$950,OOO. Currently there are 78 loans in the portfolio and the community reinvestment fund |s$45]. Asa result, $27,558 was deposited back into the account. Currently, 5 loans are indelinquency, 3 are 1-30 days late, 1is30-60 days late and 1 is 60+ days late. The related principal loans total $54,000 total with delinquent payments at $2,800. Mr. Bolin reported that the operation insulation and nsnn0de| pn)gn]nn is going okay. Our goal was 25 appointments and we are 8t21 for the year. Currently vve have no November OrDecember appointments. Operation insulation is not going as vvo||. We had a gO8| Of 50 appointments and have had 7 appointments through October. This program is not as popular as we had thought and One not sure why the accounts are low service. OTHERITEMS: Mr. Bolin reported that Jim Cassedy is updating Our cash balance and position and will report back to HRA ast0 what w8 can invest in other redevelopment projects. Commissioner Cmmmmmers questioned those cash balances. P0n. Bolin stated that this is the C8Sh on hand from projected funds that may be DOmp|8he or expiring. The sources will be identified so HRA will know what funds will be available in the future. Ms. CerneyCOnfirmed that the HRA levy for the city iSalmost paid off, the pre 1990 districts are getting paid off and they may use these funds for other projects rather than close the districts. Commissioner SchmabeU questioned if the storm results would incn2858 any of the loan requests or were most damages covered by insurance. Mr. Bolin stated that the loan requests did increase and SO did the number ofcalls they received. CE did d mailing last month and they worked with CE, Conn Rapids and the City of Blaine for a home energy fair. 21 people from Fridley attended the energy fair. ADJOURNMENT: MOTION bv Commissioner Gabel, seconded bv Commissioner 5chnabe| to adjourn the meeting. UPON A UNANIMOUS VOICE VOTE, CHAIRPERSON C0&0MERS DECLARED THE MEETING ADJOURNED AT 8:50 P.M. Respectfully Submitted by, Krista M0nsrud Recording Secretary (a V7 II&I M-111 MY OF FRIDLEY AGENDA ACTION ITEM Date: January 26, 2006 To: William Burns, Executive Director From: Paul Bolin, Asst. Executive HRA Director Rick Pribyl, Finance Director Mike Jezorski, HRA Accountant Subiect: 2006 Budget Attached you will find a copy of the 2006 Budget. We have now incorporated all of the value information previously missing from the County. The County information was needed to generate the tax increment numbers. We will provide a brief budget presentation to the Commissioners next Thursday evening. RDP/me Attachment Fridley Housing and Redevelopment Authority -• 11• FRIDLEY HRA HRA TOTALS ALL FUND TOTALS 2006 BUDGET ACCT REVENUE/EXPENDITURE DETAIL TOTAL HRA 2006 BUDGET 100 TOTAL GENERAL 265,267 TOTAL HOUSING 400's TOTAL TIFS REVENUES 4101 Full time - regular 73,506 73,506 4102 Full time - overtime 1000 Tax Incremental 3,406,087 4104 Temporary - regular 275 3.406.087 1000 Property Taxes 343,135 343,135 - - 1000 Special Assessments 4112 Employees leave 3,000 3,000 4120 Medicare contribution 1000 MV Homestead Credit 2,500 - 4,600 2,500 1000 Interest Earnings 310,300 93,800 110,000 106,500 2000 Rental 9,600 9,600 - - 2500 Grants 60 - 735 - 5100 Sale of Real Estate 362,500 100,000 - 262,500 6100 Miscellaneous 14,000 367,959 14,000 Utility services 200 TOTAL REVENUES 4,448,122 546,535 124,000 _ 3,777,587 EXPENDITURES 261,471 261,471 PERSONAL SERVICES: 4330 4101 Full time - regular 73,506 73,506 4102 Full time - overtime 82,700 - 4104 Temporary - regular 275 275 - - 4105 Temporary - overtime - - 4107 City Admin expenses 174,000 174,000 4112 Employees leave 3,000 3,000 4120 Medicare contribution 1,070 1,070 4122 Social security contribution 4,600 4,600 4125 ICMA contribution 4,500 4,500 4131 Health insurance - - 4132 Dental insurance - - 4133 Life insurance 60 60 4150 Worker's compensation 735 735 TOTAL PERSONAL SERVICES 261,471 261,471 SUPPLIES: 4330 4212 Fuels and tubes 162,200 75,000 4217 ClothingAaundry allowance 82,700 - 4220 Office supplies 275 275 - - 4221 Operating supplies 400 400 4222 Repair & maintenance supplies 288 288 4225 Small tools and minor equipment - 4333 TOTAL SUPPLIES 675 675 OTHER SERVICES AND CHARGES: 4330 Professional services 162,200 75,000 4,500 82,700 4331 Dues and subscriptions 425 425 - - 4332 Communication 288 288 - - 4333 Transportation 150 150 - - 4334 Advertising 8,750 750 8,000 4335 Printing and binding 3,400 900 2,500 4560 Furniture and fixtures 4336 Insurance, non - personnel 20,000 20,000 - 1,235,308 4337 Conferences and school 900 900 1,766,341 367,959 433B Utility services 200 200 178,576 57,125 4340 Services contracted 55,875 5,000 47,375 3,500 4346 Miscellaneous 15,700 1,200 4,500 10,000 4350 Payments to other governments - - - - 4355 Seminars and Training 1,000 1,000 - TOTAL OTHER SERVICES AND CHARGES 268,888 105,813 66,875 96,200 CAPITAL OUTLAY: 4510 Land 14,777 14,777 4520 Building 235,000 235,000 4530 Improvements other than bldg 575,325 575,325 4535 Public Utilities & Improvements 4536 Parking Facilities 410,206 - - 410,206 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY 1,235,308 1,235,308 TOTAL EXPENDITURES 1,766,341 367,959 66,875 1,331,508 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES 2,681,781 178,576 57,125 2,446,079 OTHER FINANCING SOURCES (USES): Operating Transfers In 87,429 - 87,429 - Operafing Transfers Out (87,429) (87,429) - Transfers to City (1,905,394) (87,429) (1 817 965) Interfund Loans (500,000) 500,000 (1,905,394) (587,429) (1,317,965) TOTAL REVENUES OVER/(UNDER) EXPENSES 776,387 (408,853) 57,125 1,128,114 BUDGET FUND BALANCE, JANUARY 1 BUDGET FUND BALANCE, DECEMBER 31 19,162,545 9,120,350 3,680,097 6,362,098 19,938,932 8,711,497 3,737,222 7,490,212 1/26/2006 FRIDLEY HRA HRA GENERAL FUND - $ 6,057 $ - FUND 100 2006 BUDGET $ Operating Transfers Out (287,429) (287,429) 100 (287,429) (87,429) 2005 ACCT REVENUE /EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET ESTIMATED 2006 BUDGET REVENUES - 311 -1000 Tax Increment $ - $ $ - $ _ $ - 1000 Property Taxes - Tax Levy 292,000 262,092 321,000 321,000 343,135 1000 Special Assessments (145,312 ) $ - - - $ (408,853) 334 -1000 MV Homestead Credit $ 18,399 9,376,567 $ 9,231,255 $ 334 -2000 State Revenues - State refund $ 9,120,350 - $ 8,938,042 $ 9,231,255 $ 335 -1000 Grants - - - - 362 -1000 Interest Earnings - Investments 130,000 80,702 132,000 90,000 90,000 362 -1500 Interest Earnings - Loans 9,320 5,527 3,959 3,959 3,800 362 -2000 Rental 9,600 9,600 9,600 9,600 9,600 362 -5100 Sale of Real Estate 150,000 46,627 105,000 105,000 100,000 362 -6100 Miscellaneous TOTAL REVENUES $ 590,920 $ 422,947 $ 571,559 $ 529,559 $ 546,535 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ 71,400 $ 58,866 $ 70,500 $ 70,500 $ 73,506 4102 Full time - overtime - - - _ 4104 Temporary - regular 4105 Temporary - overtime - - - - - 4107 City admin expenses 165,900 165,900 169,200 169,200 174,000 4112 Employee leave 9,180 17,812 3,000 3,000 3,000 4120 Medicare contribution 1,122 1,136 1,025 1,025 1,070 4122 Social security contribution 2,281 4,856 4,300 4,300 4,600 4125 ICMA contribution 3,978 3,726 3,900 3,900 4,500 4131 Health insurance 9,180 5,130 - - - 4132 Dental insurance 184 148 4133 Life insurance 61 49 60 60 60 4135 Long -Term Disability Insurance - - - - 4150 Worker's compensation 714 1,035 275 275 735 TOTAL PERSONAL SERVICES $ 264,000 $ 258,660 $ 252,260 $ 252,260 $ 261,471 SUPPLIES: 4212 Fuels and tubes $ - $ - $ - $ - $ _ 4217 Clothing /laundry allowance - 4220 Office supplies 275 192 275 275 4221 Operating supplies 400 120 400 400 4222 Repair & maintenance supplies - - 4225 Small tools and minor equipment TOTAL SUPPLIES $ 675 $ 312 $ 675 $ - $ 675 OTHER SERVICES AND CHARGES: 4330 Professional services $ 50,000 $ 31,957 $ 75,000 $ 75,000 $ 75,000 4331 Dues and subscriptions 425 140 425 425 425 4332 Communication 1,300 635 300 300 288 4333 Transportation 150 - 150 150 150 4334 Advertising 750 313 750 750 750 4335 Printing and binding 200 687 1,250 1,250 900 4336 Insurance, non-personnel 23,000 19,409 20,000 20,000 20,000 4337 Conferences and school 600 811 600 600 900 4338 Utility services 500 - - - 200 4340 Services contracted -Non Professional 400 1,038 1,100 1,100 5,000 4346 Miscellaneous 500 1,280 1,200 1,200 1,200 4350 Payments to other governments - - - - - 4355 Seminars and Training _ 1,000 TOTAL OTHER SERVICES AND CHARGES $ 77,825 $ 56,270 $ 100,775 $ 100,775 $ 105,813 CAPITAL OUTLAY: 4510 Land $ $ $ - $ _ $ - 4520 Building 4530 Improvements other than bldg 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ _ $ $ $ TOTAL EXPENDITURES $ 342,500 $ 315,242 $ 353,710 $ 353,035 $ 367,959 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 248,420 $ 107,705 $ 217,649 $ 176,524 $ 178,576 OTHER FINANCING SOURCES (USES): Operating Transfers In $ - $ 6,057 $ - $ - $ Operating Transfers Out (287,429) (287,429) (287,429) (287,429) (87,429) Transfers in from City 88,800 28,355 Interfund Loans - (500,000) TOTAL OTHER FINANCING SOURCES (USES) $ (198,629) $ (253,017) $ (287,429) $ (287,429) $ (587,429 TOTAL REVENUES OVER/(UNDER) EXPENSES $ 49,791 $ (145,312 ) $ (69,580) $ (110,905) $ (408,853) BUDGET FUND BALANCE, JANUARY 1 $ 8,888,251 $ 9,376,567 $ 9,231,255 $ 9,231,255 $ 9,120,350 BUDGET FUND BALANCE, DECEMBER 31 $ 8,938,042 $ 9,231,255 $ 9,161,675 $ 9,120,350 $ 8,711,497 1/26/2006 FRIDLEY HRA 2006 BUDGET 265 ACCT REVENUE/EXPENDITURE DETAIL REVENUES HOUSING PROGRAMS FUND FUND 265 2005 2004 BUDGET 2004 ACTUAL 2005 BUDGET ESTIMATED 2006 BUDGET 311 -1000 Tax Increment $ $ $ $ $ 1000 Property Taxes - Tax Levy 1000 Special Assessments 334.1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants 362 -1000 Interest Earnings - Investments 2,000 362 -1500 Interest Earnings - Loans - 362 -2000 Rental 362 -5100 Sale of Real Estate - - - - - 362 -6100 Miscellaneous (Home Show Receipts) 7,000 9,550 9,000 9,000 14,000 TOTAL REVENUES $ 9,000 $ 91550 $ 91000 $ 91000 $ 14,000 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ $ $ $ $ 4102 Full time - overtime - - - - 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation _ TOTAL PERSONAL SERVICES $ $ $ $ $ SUPPLIES: 4212 Fuels and lubes $ $ $ $ $ 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ $ $ $ $ OTHER SERVICES AND CHARGES: $ $ 10,000 $ 40,000 $ 40,000 4330 Professional services $ 2,500 $ $ 2,500 $ 2,500 $ 2,500 4331 Dues and subscriptions - - - - - 4332 Communication Transfers to City 4333 Transportation - - - - $ 4334 Advertising 8,000 3,508 3,000 3,000 3,000 4335 Printing and binding 2,500 585 2,500 2,500 2,500 4336 Insurance, non-personnel - - 16,141 $ 18,944 $ 18,944 4337 Conferences and school BUDGET FUND BALANCE, DECEMBER 31 $ (12,734) $ 18,944 $ 35,069 $ 4338 Utility services - - 4340 Services contracted -Non Professional (CEE Services) 17,375 8,041 17,375 17,375 17,375 4341 Rentals 7,500 4,613 7,500 7,500 4,500 4346 Miscellaneous - - - 4350 Payments to other governments 4354 Uncollectible Accounts 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 37,875 $ 16,747 $ 32,875 $ 32,875 $ 29,875 CAPITAL OUTLAY: 4510 Land $ - $ $ $ - $ 4520 Building 4530 Improvements other than bldg 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ $ _ $ $ TOTAL EXPENDITURES $ 37,875 $ 16,747 $ 32,875 $ 32,875 $ 29,875 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ (28,875) $ (7,197) $ (23,875) $ (23,875) $ (15,875) OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ 10,000 $ 40,000 $ 40,000 $ Operating Transfers Out - - Transfers in from City Transfers to City TOTAL OTHER FINANCING SOURCES (USES) $ $ 10,000 $ 40,000 $ 40,000 $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ (28,875) $ 2,803 $ 16,125 $ 16,125 $ (15,875) BUDGET FUND BALANCE, JANUARY 1 $ _ 16,141 $ 16,141 $ 18,944 $ 18,944 $ 35,069 BUDGET FUND BALANCE, DECEMBER 31 $ (12,734) $ 18,944 $ 35,069 $ 35,069 $ 19,194 -06 FRIDLEY HRA REVOLVING LOAN 1.5 FUND FUND 267 2006 BUDGET 267 2005 ACCT REVENUE /EXPENDITURE DETAIL 2004 BUDGET 2004ACTUAL 2005 BUDGET ESTIMATED 2006 BUDGET REVENUES 311 -1000 Tax Increment $ $ $ $ $ 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants 362.1000 Interest Earnings - Investments 69,000 39,476 67,000 67,000 65,000 362 -1500 Interest Earnings - Loans 50,000 38,930 43,700 43,700 45,000 362 -2000 Rental - - 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 119,000 $ 78,406 $ 110,700 $ 110,700 $ 110,000 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ $ $ $ $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance - - - - - 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL. SERVICES $ $ $ $ $ SUPPLIES: 4212 Fuels and lubes $ $ $ $ $ 4217 Clothing1laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ $ $ $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 2,000 $ 220 $ 2,000 $ 2,000 $ 2,000 4331 Dues and subscriptions - - - - 4332 Communication 12 4333 Transportation 4334 Advertising 5,000 5,000 5,000 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services - - - - - 4340 Services contracted -Non Professional 34,500 22,033 31,000 31,000 30,000 4341 Rentals - - - - 4346 Miscellaneous 4350 Payments to other governments 4354 Uncollectible Accounts 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 36,500 $ 22,265 $ 38,000 $ _ 38,000 $ 37,000 CAPITAL OUTLAY: 4510 Land $ $ - $ - $ - $ - 4520 Building - - - - - 4530 Improvements other than bldg 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ $ $ $ TOTAL. EXPENDITURES $ 36,500 $ 22,265 $ 38,000 $ 38,000 $ 37,000 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 82,500 $ 56,141 $ 72,700 $ 72,700 $ 73,000 OTHER FINANCING SOURCES (USES): Operating Transfers In $ 87,429 $ 87,429 $ 87,429 $ 87,429 $ 87,429 Operating Transfers Out - (12,437) (40,000) (40,000) - Transfers in from City Transfers to City (87,429) (87,429) (87,429) (87,429) (87,429) TOTAL OTHER FINANCING SOURCES (USES) $ W $ (12,437) $ (40,000) $ (40,000) $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 82,500 $ 43,704 $ 32,700 $ 32,700 $ 73,000 BUDGET FUND BALANCE, JANUARY 1 $ 3,486,124 $ 3,566,624 $ 3,612,328 $ 3,612,328 $ 3,645,028 BUDGET FUND BALANCE, DECEMBER 31 $ 3,568,624 $ 3,612,328 $ 3,645,028 $ 3,645,028 $ 3,718,028 1/26/2006 FRIDLEY HRA 2006 BUDGET ALL CAPITAL FUNDS 2005 ACCT REVENUE/EXPENDITURE DETAIL. 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 3,942,500 $ 3,078,427 $ 4,019,000 $ 3,167,201 $ 3,406,087 1000 Property Taxes -Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 48,043 2,500 334 -2000 State Revenues - State refund 335 -1000 Grants - - - 362 -1000 Interest Earnings - Investments 108,000 65,169 93,500 95,500 106,500 362 -1500 Interest Earnings - Loans - 442 400 288 - 362 -2000 Rental - - 362 -5100 Sale of Real Estate 700,000 262,500 362 -6100 Miscellaneous TOTAL REVENUES $ 4,050,500 $ 3,192,081 $ 4,812,900 S 3,262,989 S 3,777,587 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular S $ - $ $ $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ $ $ $ S SUPPLIES: 4212 Fuels and tubes $ $ S $ $ 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment _ TOTAL SUPPLIES $ $ $ $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 61,000 $ 69,109 $ 82,700 S 74,546 $ 82,700 4331 Dues and subscriptions - - - - 4332 Communication 4333 Transportation 4334 Advertising 116 566 4335 Printing and binding - 4336 Insurance, non - personnel 4337 Conferences and school - 4338 Utility services 116 528 - 4340 Services contracted -Non Professional 43,500 16,887 7,200 12,906 3,500 4346 Miscellaneous - - - - 10,000 4350 Payments to other governments 2,472 6,689 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 104,500 $ 88,700 $ 89,900 $ 95,235 $ 96,200 CAPITAL OUTLAY: 4510 Land $ 1,275,364 $ 578,269 $ 1,018,484 $ 629,303 $ 14,777 4520 Building 144,000 184 136,500 - 235,000 4530 Improvements other than bldg 157,000 75,782 81,000 76,832 575,325 4536 Parking Facilities 1,245,000 410,275 855,000 410,206 410,206 4537 Streets and Sidewalks - - - 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 2,821,384 $ 1,064,510 $ 2,090,984 $ 1,116,341 $ 1,235,308 TOTAL EXPENDITURES $ 2,925,864 $ 1,153,210 $ 2,180,664 $ 1,211,576 $ 1,331,508 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 1,124,616 $ 2,038,871 $ 2,632,016 $ 2,051,413 $ 2,446,079 OTHER FINANCING SOURCES (USES): Operating Transfers In $ 200,000 $ $ 200,000 $ 25,000 $ - Operaling Transfers Out - (3,618) - - Transfers in from City 191,559 8,441 Transfers to City (1,733,000) (1,673,971) (1,700,000) (1,697,026) (1,817,965) Interfund Loans 500,000 1,000,000 500,000 TOTAL OTHER FINANCING SOURCES (I $ (1,033,000) $ (1,486,030) $ (1,500,000) $ (663,585) S (1,317,965) TOTAL REVENUES OVER/(UNDER) EXPENSES $ 91,616 $ 552,841 $ 1,132,016 S 1,387,828 $ 1,128,114 BUDGET FUND BALANCE, JANUARY 1 $ 2,202,997 $ 2,165,013 $ 3,428,086 $ 4,974,270 S 6,362,096 BUDGET FUND BALANCE, DECEMBER 31 $ 2,294,613 $ 2,717,854 $ 4,560,102 $ 6,362,098 $ 7,490,212 126/2006 Fridley HRA 2006 BUDGET 450 ACCT REVENUEIEXPENDITURE DETAIL REVENUES 311.1000 Tax Increment S 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants 362 -1000 Interest Earnings - Investments 362 -1500 Interest Earnings - Loans 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES S EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ TIF #1 CENTER CITY 2005 2004 BUDGET 2004 ACTUAL 2005 BUDGET ESTIMATED 407,500 $ 500,957 $ 579,000 $ 579,000 $ 20,109 4212 Fuels and tubes S 407,500 $ 521,066 $ 579,000 $ 579,000 $ S S 5 $ S S S S S 2006 BUDGET 537,100 537,100 FUND 450 SUPPLIES: 4212 Fuels and tubes S S S S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ 5 S S $ OTHER SERVICES AND CHARGES: 4330 Professional services $ S $ S 2,062 $ 4331 Dues and subscriptions 4332 Communication - - - - - 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 5 S $ 2,062 $ CAPITAL OUTLAY: 4510 Land $ $ $ $ - $ 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ $ $ $ TOTAL EXPENDITURES $ $ $ $ 2,062 $ EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 407,500 $ 521,066 $ 579,000 $ 576,938 $ 537,100 OTHER FINANCING SOURCES (USES): Operating Transfers In $ - $ $ - $ - $ - Operating Transfers Out Transfers in from City Transfers to City (600,000) (268,284) Interfund Loans TOTAL OTHER FINANCING SOURCES (USES $ (600,000) $ (268,264) $ $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ (192,500) $ 252,782 $ 579,000 $ 576,938 $ 537,100 BUDGET FUND BALANCE, JANUARY 1 $ 268,622 $ 266,622 $ 521,404 $ 1,100,404 $ 1,677,342 BUDGET FUND BALANCE, DECEMBER 31 $ 76,122 $ 521,404 $ 1,100,404 $ 1,677,342 $ 2,214,442 1/26/2006 FRIDLEY HRA TIF #2 MOORE LAKE FUND 451 2006 BUDGET 451 ACCT REVENUE/EXPENDITURE DETAIL REVENUES 311.1000 Tax Increment S 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants 362.1000 Interest Earnings - Investments 362 -1500 Interest Earnings - Loans 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous 4221 Operating supplies TOTAL REVENUES $ EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular 5 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation 1,827 $ TOTAL PERSONAL SERVICES $ 2004 BUDGET 2004 ACTUAL 2005 BUDGET 449,000 $ 434,521 $ 476,000 S 14,676 27,000 9,970 11,000 442 400 476,000 $ 459,609 S 487,400 S • $ - S - S 2005 YTD ACTUAL 2006 BUDGET 450,000 S 15,000 288 513,961 20,000 465,288 $ 533,961 - S - SUPPLIES: 4212 Fuels and lubes S S $ S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ $ $ $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 2,500 $ 1,827 $ 2,500 $ 2,458 $ 3,000 4331 Dues and subscriptions 4332 Communication - - - - - 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non-personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 2,500 $ 1,827 $ 2,500 $ 2,458 $ 3,000 CAPITAL OUTLAY: 4510 Land $ $ - $ $ - $ - 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ $ $ $ TOTAL EXPENDITURES $ 2,500 $ 1,827 $ 2,500 $ 2,458 $ 3,000 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE; $ 473,500 $ 457,782 $ 464,900 $ 462,630 $ 530,961 OTHER FINANCING SOURCES (USES): Operating Transfers In $ - $ - $ - $ - $ Operating Transfers Out (675) Transfers in from City Transfers to City (133,000) (1,115,131) (100,000) (100,000) (1.481,543) Interfund Loans TOTAL OTHER FINANCING SOURCES ($ (133,000) $ (1,115,806) $ (100,000) $ (100,000) $ (1,481,543) TOTAL REVENUES OVER/(UNDER) EXPENSES $ 340,500 S (658,024) $ 384,900 $ 362,830 $ (950,582) BUDGET FUND BALANCE, JANUARY 1 $ 1,255,453 $ 1,255,453 $ 1,595,953 $ 2,274,646 $ 2,637,676 BUDGET FUND BALANCE, DECEMBER 31 $ 1,595,953 $ 597,429 $ 1,980,853 $ 2,637,676 $ 1,687,094 1/26/2006 FRIDL.EY HRA TIF #3 NORTH AREA FUND 452 20D6 BUDGET 452 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET ESTIMATED 2006 BUDGET REVENUES 311 -1000 Tax Increment S 1,034,000 $ 1,040,938 $ 1,342,000 $ 1,050,000 S 1,100,206 1000 Property Taxes - Tax Levy - - - - - 1000 Special Assessments 334 -1000 MV Homestead Credit 334-2000 State Revenues - State refund 335 -1000 Grants - - - 362 -1000 Interest Earnings - Investments 26,000 26,260 36,000 36,000 31,000 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 11060,000 $ 1,067,198 $ 1,378,000 $ 1,066,000 $ 1,131,206 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ - $ - $ $ - S 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S $ _ S S SUPPLIES: 4212 Fuels and tubes $ S $ S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ $ $ $ S OTHER SERVICES AND CHARGES: 4330 Professional services $ 3,500 $ 1,846 $ 3,500 $ 3,500 S 3,500 4331 Dues and subscriptions - - 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 3,500 $ 1,846 $ 3,500 S 3,500 $ 3,500 CAPITAL OUTLAY: 4510 Land $ 12,484 $ 12,484 $ 12,484 $ 12,484 $ 4520 Building - - - - 4530 Improvements other than bldg (Banfll) 82,000 75,782 81,000 76,832 75.325 4536 Parking Facilities - - - 4537 Streets and Sidewalks 4540 Machinery - 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 94,484 $ 88,266 $ 93,484 S 89,316 $ 75,325 TOTAL EXPENDITURES $ 97,984 $ 90,112 $ 96,984 S 92,816 $ 78,625 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE! $ 962,016 $ 977,086 $ 1,281,016 $ 993,184 $ 1,052,381 OTHER FINANCING SOURCES (USES): Operating Transfers In $ - $ $ - $ $ - Operating Transfers Out (1,209) Transfers in from City Transfers to City (1,000,000) (290,556) (1,600,000) (1,597,026) 33( 6,4221 Inlerfund Loans TOTAL OTHER FINANCING SOURCES ($ (1,000,000) $ (291,765) $ (1,600,000) $ (1,597,026) $ (336,422) TOTAL REVENUES OVER/(UNDER) EXPENSES $ (37,984) $ 685,321 $ (318,984) $ (603,642) $ 715,959 BUDGET FUND BALANCE, JANUARY 1 $ 1,589,526 $ 1,551,542 $ 2,236,863 $ 2,236,863 $ 1,633,021 BUDGET FUND BALANCE, DECEMBER 31 $ 1,551,542 $ 2,236,863 $ 1,917,879 $ 1,633,021 $ 2,348,980 1126/2006 FRIDLEY HRA TIF #6 LAKE POINTE FUND 455 2006 BUDGET 455 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET ESTIMATED 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 1,383,000 $ 450,615 $ 950,000 S 455,785 $ 634,898 1000 Property Taxes -Tax Levy - - - 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues- State refund 335 -1000 Grants - - - 362 -1000 Interest Earnings - Investments 15,000 2,750 5,000 10,000 10,000 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 1,398,000 $ 453,365 $ 955,000 $ 465,785 $ 644,898 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ - $ $ $ $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ $ $ $ $ SUPPLIES: 4212 Fuels and tubes $ $ $ $ $ 4217 Clothing/laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTALSUPPLIES $ $ $ $ $ OTHER SERVICES AND CHARGES: 455 - 0000. 430 -4330 Professional services $ 15,000 $ 22,337 $ 20,000 $ 10,000 $ 10,OOD 4331 Dues and subscriptions - - - - 4332 Communication 4333 Transportation 4334 Advertising - - - - - 4335 Printing and binding 4336 Insurance, non - personnel - - - - - 4337 Conferences and school 433B Utility services 4340 Services contracted -Non Professional 905 935 4346 Miscellaneous - - 4350 Payments to other governments - - - - - 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 15,000 $ 23,242 $ 20,000 $ 10,935 $ 10,OD0 CAPITAL OUTLAY: 4510 Land $ 15,000 $ - $ - $ $ 4520 Building 4530 Improvements other than bldg - - - 4536 Parking Facilities 1,245,000 410,275 855,000 410,206 410,206 4537 Streets and Sidewalks - - - - - 4540 Machinery 4560 Furniture and fixtures _ TOTAL CAPITAL OUTLAY $ 1,260,000 $ 410,275 $ 855,000 $ 410,206 $ 410,206mm TOTAL EXPENDITURES $ 1,275,000 $ 433,517 $ 875,000 $ 421,141 $ 420,206 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 123,000 $ 19,848 $ 80,000 $ 44,644 $ 224,692 OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ - $ $ - $ Operating Transfers Out (226) Transfers in from City - Transfers to City Interfund Loans # TOTAL OTHER FINANCING SOURCES ($ _ $ (226) $ $ - $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 123,000 $ 19,622 $ 80,000 $ 44,644 $ 224,692 BUDGET FUND BALANCE, JANUARY 1 $ (980,414) $ (980,414) $ (960,792) $ (960,792) $ (916,148) BUDGET FUND BALANCE, DECEMBER 31 $ (857,414) $ (960,792) $ (880,792) $ (916,148) $ (691,456) 1/26/2006 FRIDLEY HRA TIF #7 WINFIELD FUND 456 2006 BUDGET 456 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET ESTIMATED 2006 BUDGET REVENUES 311 -1000 Tax Increment S 49,000 $ 48,936 $ 53,000 $ 53,000 $ 55,541 1000 Property Taxes - Tax Levy - 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants - - - - 362 -1000 Interest Earnings - Investments 7,000 4,462 8,000 7,000 8,000 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 56,000 $ 53,398 S 61,000 $ 60,000 $ 63,541 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ S S $ - $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution - - - - - 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S S S SUPPLIES: 4212 Fuels and tubes $ S S S $ 4217 Clothing/laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ 5 S S $ OTHER SERVICES AND CHARGES: 4330 Professional services $ S 1,605 $ 1,000 S 863 $ 1,000 4331 Dues and subscriptions - - 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ S 1,605 $ 1,000 S 863 $ 1,000 CAPITAL OUTLAY: 4510 Land $ S S S S 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL, CAPITAL OUTLAYS $ $ $ $ TOTAL EXPENDITURES $ $ 1,605 $ 1,000 $ 863 $ 1,000 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE; $ 56,000 $ 51,793 $ 60,000 $ 59,137 $ 62,541 OTHER FINANCING SOURCES (USES): Operating Transfers In $ - $ - $ - $ $ - Operating Transfers Out (271) Transfers in from City - Transfers to City - Interfund Loans TOTAL OTHER FINANCING SOURCES ($ $ (271) $ $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 56,000 $ 51,522 $ 60,000 $ 59,137 $ 62,541 BUDGET FUND BALANCE, JANUARY 1 $ 341,754 $ 341,754 $ 393,276 $ 393,275 $ 452,412 BUDGET FUND BALANCE, DECEMBER 31 $ 397,754 $ 393,276 $ 453,276 $ 452,412 $ 514,953 1/26/2006 FRIDLEY HRA TIF #9 ONAN FUND 458 2006 BUDGET 458 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 375,OCO $ 373,470 $ 365,000 S 365,000 $ 301,976 1000 Property Taxes - Tax Levy - - 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants - - - 362 -1000 Interest Earnings - Investments 12,000 7,850 11,000 11,000 14,000 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sate of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 387,000 $ 381,320 $ 376,000 $ 376,000 $ 315,976 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular S $ - $ S S 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long-Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S S $ SUPPLIES: 4212 Fuels and lubes $ S S S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ S $ $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 1,500 $ 1,574 $ 3,000 $ 1,110 $ 1,500 4331 Dues and subscriptions - - - - 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 1,500 S 1,574 $ 3,000 $ 1,110 $ 1,500 CAPITAL OUTLAY: 4510 Land $ 195,100 $ 198,168 $ 87,000 $ 121,025 $ - 4520 Building - - - 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks - - - - 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 195,100 $ 198,168 $ 87,000 $ 121,025 $ TOTAL EXPENDITURES $ 196,600 $ 199,742 $ 90,000 $ 122,135 $ 1,500 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE! $ 190,400 $ 181,578 $ 286,000 $ 253,865 $ 314,476 OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ - $ $ - $ Operating Transfers Out (433) Transfers in from City - Transfers to City Interfund Loans TOTAL OTHER FINANCING SOURCES ($ $ (433) $ $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 190,400 $ 181,145 S 266,000 S 253,865 $ 314,476 BUDGET FUND BALANCE, JANUARY 1 $ 496,837 $ 496,837 $ 677,982 $ 677,982 $ 931,847 BUDGET FUND BALANCE, DECEMBER 31 $ 687,237 $ 677,982 $ 963,982 $ 931,847 $ 1,246,323 1/26/2006 FRIDLEY HRA TIF #11 UNIV / OSBORNE FUND 462 2006 BUDGET 462 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 .1 000 Tax Increment $ 34,000 $ 33,477 $ 33,000 $ 33,000 $ 35,664 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues- State refund 335 -1000 Grants - - - 362.1000 Interest Earnings - Investments 3,000 1,869 3,000 2,00D 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 37,000 $ 35,346 $ 36,000 $ 33,000 $ 37,664 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ - $ - S - $ - $ - 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution - - - - 4131 Health insurance - - - - - 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation V TOTAL PERSONAL SERVICES $ $ S S S SUPPLIES: 4212 Fuels and tubes $ $ 5 S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ $ S S $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 1,500 $ 1,574 $ 1,500 $ 1,262 $ 1,500 4331 Dues and subscriptions 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 1,500 $ 1,574 $ 1,500 $ 1,262 $ 1,500 CAPITAL OUTLAY: 4510 Land $ 6,000 $ - $ - $ - $ - 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 6,000 $ $ $ $ TOTAL EXPENDITURES $ 7,500 $ 1,574 $ 1,50D $ 1,262 $ 1,500 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE! $ 29,500 $ 33,772 $ 34,500 $ 31,736 $ 36,164 OTHER FINANCING SOURCES (USES): Operating Transfers in $ $ - $ - $ - $ - Operating Transfers Out (111) Transfers in from City - Transfers to City - interfund Loans TOTAL OTHER FINANCING SOURCES ($ $ (111) $ $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 29,500 $ 33,661 $ 34,500 $ 31,738 $ 36,164 BUDGET FUND BALANCE, JANUARY 1 $ 132,712 $ 132,712 $ 166,373 $ 166,373 $ 198,111 BUDGET FUND BALANCE, DECEMBER 31 $ 162,212 $ 166,373 $ 200,873 $ 198,111 $ 234,275 1126/2006 FRIDLEY HRA TIF #12 MCGLYNN FUND 463 2006 BUDGET 463 2005 ACCT REVENUEIEXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 39,000 $ 39,279 b 39,000 $ 39,000 $ 30,691 1000 Property Taxes -Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants - - 362 -1000 Interest Earnings - Investments 1,000 1,211 1,500 1,500 1,500 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental - - - - - 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 40,000 S 40,490 S 40,500 $ 40,500 $ 32,191 EXPENDITURES PERSONAL SERVICES: 4101 Full time • regular $ S S $ - $ 4102 Full time •• overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance - - - - - 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S S b SUPPLIES: 4212 Fuels and tubes $ S S 5 S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ S S S S OTHER SERVICES AND CHARGES: 4330 Professional services $ 1,500 $ 2,256 $ 1,500 $ 1,252 $ 3,000 4331 Dues and subscriptions - - - - 4332 Communication 4333 Transportation - - - - 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services - - - - - 4340 Services contracted -Non Professional 4346 Miscellaneous - - - - - 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 1,500 $ 2,256 $ 1,500 $ 1,252 $ 3,000 CAPITAL OUTLAY: 4510 Land $ 40,000 $ 18,967 $ 38,000 $ - $ 4520 Building - - 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 40,000 $ 18,967 $ 38,000 $ $ TOTAL EXPENDITURES $ 41,500 $ 21,223 $ 39,500 $ 1,252 $ 3,000 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE! $ (1,500) $ 19,267 $ 11000 $ 39,246 $ 29,191 OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ - $ - $ $ - Operating Transfers Out (54) Transfers in from City - Transfers to City Interfund Loans TOTAL OTHER FINANCING SOURCES (S $ (54) $ $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ (1,500) $ 19,213 $ 1,000 $ 39,248 $ 29,191 BUDGET FUND BALANCE, JANUARY 1 $ 63,217 $ 63,217 $ 61,717 $ 82,430 $ 121,678 BUDGET FUND BALANCE, DECEMBER 31 $ 61,717 $ 82,430 $ 62,717 $ 121,678 $ 150,869 1/26/2006 FRIDL.EY HRA TIF #13 SATELLITE LANE APTS FUND 464 2006 BUDGET 464 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 40,000 $ 34,382 $ 46,000 $ 46,000 S 47,661 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 5,438 334 -2000 State Revenues - State refund 335 -1000 Grants - 362 -1000 Interest Earnings - Investments 4,000 2,563 5,000 5,000 7,000 362 -1500 Interest Earnings - Loans - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 44,000 $ 42,383 $ 51,000 S 51,000 $ 54,661 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular S - S $ S - $ - 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health Insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S S S SUPPLIES: 4212 Fuels and tubes $ 5 $ S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES S $ $ S S OTHER SERVICES AND CHARGES: 4330 Professional services $ 4,000 S 1,669 $ 3,200 $ 1,160 $ 1,500 4331 Dues and subscriptions - - 4332 Communication 4333 Transportation - - - - - 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL. OTHER SERVICES AND CHARGES $ 4,000 $ 1,669 $ 3,200 $ 1,160 S 1,500 CAPITAL OUTLAY: 4510 Land S $ - $ - S $ 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ $ $ $ TOTAL EXPENDITURES $ 4,000 $ 1,669 $ 3,200 $ 1,160 $ 1,500 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 40,000 $ 40,714 $ 47,800 $ 49,840 $ 53,161 OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ - $ - S $ - Operating Transfers Out (152) Transfers in from City - Transfers to City Interfund Loans TOTAL OTHER FINANCING SOURCES (USE; $ $ (152) $ $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES S 40,000 S 40,562 $ 47,800 $ 49,840 $ 53,161 BUDGET FUND BALANCE, JANUARY 1 $ 185,646 $ 185,646 $ 226,208 $ 226,208 $ 276,048 BUDGET FUND BALANCE, DECEMBER 31 $ 225,646 $ 226,208 $ 274,008 $ 276,048 $ 329,209 1/26/2006 FRIDLEY HRA TIF #14 INDUSTRIAL EQUITIES FUND 465 2006 BUDGET 465 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 52,000 $ 51,491 $ 52,000 $ 26,172 S 55,166 1000 Property Taxes - Tax Levy - - 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants - - - 362 -1000 Interest Earnings - Investments 8,000 5,433 10,000 10,000 10,000 362 -1500 Interest Earnings - Loans - - - - 362 -2000 Rental 362.5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 60,000 $ 56,924 S 62,000 $ 36,172 $ 65,166 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular S $ - S S S 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ $ S S $ SUPPLIES: 4212 Fuels and tubes $ $ S S S 4217 Clothingflaundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ $ S $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 2,000 $ 1,693 $ 2,000 $ 2,000 $ 2,000 4331 Dues and subscriptions - - 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non-personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 2,000 $ 1,693 $ 2,000 $ 2,000 $ 2,OD0 CAPITAL OUTLAY: 4510 Land $ - $ - $ $ - $ 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks - - - - - 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ $ $ $ $ TOTAL EXPENDITURES $ 2,D00 $ 1,693 $ 2,000 $ 2,000 $ 2,000 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE: $ 58,D00 $ 55,231 $ 60,000 $ 34,172 $ 63,166 OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ - $ - $ - $ Operating Transfers Out (326) Transfers in from City - Transfers to City Interfund Loans TOTAL OTHER FINANCING SOURCES ($ $ (326) $ $ $ TOTAL REVENUES OVER /(l1NDER) EXPENSES $ 58,000 $ 54,905 $ 60,000 $ 34,172 S 63,166 BUDGET FUND BALANCE, JANUARY 1 $ 464,491 $ 464,491 $ 519,396 $ 519,396 $ 553,568 BUDGET FUND BALANCE, DECEMBER 31 $ 522,491 $ 519,396 $ 579,396 $ 553,568 $ 616,734 1/26/2006 FRIDLEY HRA TIF #16 57TH AVE (LINN) FUND 467 2006 BUDGET 467 2005 ACCT REVENUEIEXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ 17,000 $ 16,715 $ 18,000 $ 18,000 S 20,516 1000 Property Taxes - Tax Levy - 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants 362 -1000 Interest Earnings - Investments 38 362.1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 17,000 $ 16,753 $ 18,000 $ 16,000 $ 20,516 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ - $ - $ - $ - S - 4102 Full lime - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation _ TOTAL PERSONAL SERVICES $ $ $ S $ SUPPLIES: 4212 Fuels and tubes $ $ $ S $ 4217 Clothing/laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment _ TOTAL SUPPLIES $ $ $ $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 1,500 $ 1,574 S 1,500 $ 872 $ 1,500 4331 Dues and subscriptions - - - - 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services - - - - - 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 1,500 S 1,574 $ 1,500 $ 872 $ 1,500 CAPITAL OUTLAY: 4510 Land $ 12,000 $ 14,150 $ 16,000 $ 15,565 $ 14.777 4520 Building - - 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY S 12,000 S 14,150 $ 16,000 $ 15,565 $ 14,777 TOTAL EXPENDITURES $ 13,500 $ 15,724 $ 17,500 $ 16,437 $ 16,277 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE; $ 3,500 $ 1,029 $ 500 $ 1,563 $ 4,239 OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ - $ $ $ Operating Transfers Out (3) Transfers in from City Transfers to City - Interfund Loans TOTAL OTHER FINANCING SOURCES ($ $ (3) $ S $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 3,500 $ 1,026 $ 500 $ 1,563 $ 4,239 BUDGET FUND BALANCE, JANUARY 1 $ (124,913) $ (124,913) $ (121,413) $ (123,887) $ (122,324) BUDGET FUND BALANCE, DECEMBER 31 $ (121,413) $ (123,887) $ (120,913) $ (122,324) $ (118,085) 1/26/2006 FRIDLEY HRA TIF #17 GATEWAY EAST FUND 466 2005 BUDGET 468 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment S 40,000 $ 33,747 $ 40,000 $ 40,000 $ 45,128 1000 Property Taxes - Tax Levy - - 1000 Special Assessments 334 -1000 MV Homestead Credit 4,990 334 -2000 State Revenues - State refund 335 -1000 Grants - 362 -1000 Interest Earnings - Investments 1,000 871 362 -1500 Interest Earnings - Loans - 362.2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 41,000 $ 39,606 $ 40,000 $ 40,000 $ 45,128 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ $ - $ - $ - $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S S S SUPPLIES: 4212 Fuels and lubes $ S S S S 4217 Clothing/laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment _ TOTAL SUPPLIES $ $ OTHER SERVICES AND CHARGES: 4330 Professional services $ 4,000 $ 1,542 $ S 1,200 $ 1,200 4331 Dues and subscriptions - 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non - personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted -Non Professional 4346 Miscellaneous 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 4,000 $ 1,542 $ $ 1,200 $ 1,200 CAPITAL OUTLAY: 4510 Land $ $ - $ $ - $ 4520 Building 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ _ $ _ $ $ $ _ _ TOTAL EXPENDITURES $ 4,000 $ 1,542 $ $ 1,200 $ 1,200 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ 37,000 $ 36,066 $ 40,000 S 38,800 $ 43,928 OTHER FINANCING SOURCES (USES): Operating Transfers in $ $ $ $ $ Operating Transfers Out (43) Transfers in from City Transfers to City Interfund Loans _ TOTAL OTHER FINANCING SOURCES (USE $ $ (43) $ $ $ _ TOTAL REVENUES OVER/(UNDER) EXPENSES $ 37,000 $ 38,023 $ 40,000 $ 38,800 $ 43,928 BUDGET FUND BALANCE, JANUARY 1 $ (1,024,353) $ (1,024,353) $ (987,353) $ (986,330) $ (947,530) BUDGET FUND BALANCE, DECEMBER 31 $ (987,353) $ (986,330) $ (947,353) $ (947,530) $ (903,602) 1/26/2006 FRIDLEY HRA TIF #18 GATEWAY WEST FUND 470 2005 BUDGET 470 2005 ACCT REVENUE/EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 2006 BUDGET REVENUES 311 -1000 Tax Increment $ $ $ $ $ 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 334 -2000 State Revenues - State refund 335 -1000 Grants - - - - - 362 -1000 Interest Earnings - Investments 2,000 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental - - - - - 362 -5100 Sale of Real Estate 700,000 262,500 362 -6100 Miscellaneous TOTAL REVENUES $ 21000 $ S 700,000 $ $ 262,500 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ - $ S - $ $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses - - - - - 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S S S SUPPLIES: 4212 Fuels and tubes $ S $ S S 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ S S S S OTHER SERVICES AND CHARGES: 4330 Professional services $ 24,000 S 25,652 $ 40,000 $ 24,831 $ 20,000 4331 Dues and subscriptions 4332 Communication 4333 Transportation - 4334 Advertising 566 4335 Printing and binding - 4336 Insurance, non - personnel 4337 Conferences and school - 4338 Utility services 116 528 4340 Services contracted -Non Professional 43,500 13,905 7,200 6,431 4346 Miscellaneous - - - 4350 Payments to other governments 2,472 6,689 _ 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 67,500 $ 42,145 $ 47,200 $ 41,045 $ 20,000 CAPITAL OUTLAY: 4510 Land $ 694,800 $ 334,500 $ 565,000 $ 480,229 $ 4520 Building 119,000 184 111,500 4530 Improvements other than bldg 75,000 - - 500,000 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 888,800 $ 334,684 $ 676,500 $ 480,229 $ 500,000 TOTAL EXPENDITURES $ 956,300 $ 376,829 $ 723,700 $ 521,274 $ 520,000 EXCESS (DEFICIT) OF REVENUES OVER EXPENSE; $ (954,300) $ (376,829) $ (23,700) $ (521,274) $ (257,500) OTHER FINANCING SOURCES (USES): Operating Transfers In $ $ $ $ $ Operating Transfers Out Transfers in from City 191,559 6,441 Transfers to City Interfund Loans 500,000 1,000,000 500,000 TOTAL OTHER FINANCING SOURCES ($ 500,000 $ 191,559 $ $ 1,008,441 $ 500,000 TOTAL. REVENUES OVER/(UNDER) EXPENSES $ (454,300) $ (185,270) $ (23,700) $ 487,167 $ 242,500 BUDGET FUND BALANCE, JANUARY 1 S (612,676) $ (612,676) $ (1,066,976) $ (797,946) $ (310,779) BUDGET FUND BALANCE, DECEMBER 31 $ (1,066,976) $ (797,946) $ (1,090,676) $ (310,779) $ (68,279) 1/26/2006 FRIDLEY HRA ISLANDS OF PEACE FUND 471 2006 BUDGET 471 2005 ACCT REVENUEIEXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 20D6 BUDGET :EVENUES 111-1000 Tax Increment $ 1000 Property Taxes - Tax Levy 1000 Special Assessments 134-1000 MV Homestead Credit 134-2000 State Revenues - State refund 25-1000 Grants 62-1000 Interest Earnings - Investments 162-1500 Interest Earnings - Loans 162-2000 Rental 62-5100 Sale of Real Estate 162-6100 Miscellaneous TOTAL REVENUES XPENDITURES PERSONAL SERVICES: 4101 Full time - regular $ 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City adrnln expenses 4112 Employees leave 4120 Medicare contribution 4121 IGMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long-Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES SUPPLIES: 4212 Fuels and tubes $ 4217 Clothing /laundry allowance 422D Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies 4225 Small tools and minor equipment TOTAL SUPPLIES $ OTHER SERVICES AND CHARGES: 433D Professional services $ 5 S 5 20,784 $ 30,000 4331 Dues and subscriptions 4332 Communication 4333 Transportation 4334 Advertising 4335 Printing and binding 4336 Insurance, non-personnel 4337 Conferences and school 4338 Utility services 4340 Services contracted-Non Professional - 4346 Miscellaneous 10,000 4350 Payments to other governments 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES $ 20,784 $ 40,000 CAPITAL OUTLAY: 4510 Land $ 4520 Building 235,000 4530 Improvements other than bldg 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures - TOTAL CAPITAL OUTLAY $ $ 235,000 TOTAL EXPENDITURES $ 20,784 $ 275,000 XCESS (DEFICIT) OF REVENUES OVER EXPENSES $ (20,784) $ (275,000) THER FINANCING SOURCES (USES): Operating Transfers In $ 25,000 $ Operating Transfers Out Transfers in from City Transfers to City Interfund Loans TOTAL OTHER FINANCING SOURCES ($ 25,000 $ DTAL REVENUES OVER/(LINDER) EXPENSES S $ § $ 4,216 $ (275,000) UDGET FUND BALANCE, JANUARY 1 $ $ $ . $ 4,216 UDGET FUND BALANCE, DECEMBER 31 $ $ $ 4,216 S (270,784) 1/26/2006 FRIDLEY HRA TIF #HR1 HOUSING REPLACEMENT FUND 501 2005 BUDGET 501 2005 ACCT REVENUE (EXPENDITURE DETAIL 2004 BUDGET 2004 ACTUAL 2005 BUDGET YTD ACTUAL 20D6 BUDGET REVENUES 311 -1000 Tax Increment $ 23,000 $ 19,899 $ 26,000 $ 12,244 $ 27,579 1000 Property Taxes - Tax Levy 1000 Special Assessments 334 -1000 MV Homestead Credit 2,830 2,500 334.2000 State Revenues - State refund - 335 -1000 Grants - - 362 -1000 Interest Earnings - Investments 2,000 1,892 3,000 3,000 362 -1500 Interest Earnings - Loans - - - - - 362 -2000 Rental 362 -5100 Sale of Real Estate 362 -6100 Miscellaneous TOTAL REVENUES $ 25,000 S 24,621 $ 29,000 $ 12,244 $ 33,079 EXPENDITURES PERSONAL SERVICES: 4101 Full time - regular S $ - S $ S 4102 Full time - overtime 4104 Temporary - regular 4105 Temporary - overtime 4107 City admin expenses 4112 Employees leave 4120 Medicare contribution 4121 ICMA contribution 4122 Social security contribution 4131 Health insurance 4132 Dental insurance 4133 Life insurance 4135 Long -Term Disability Insurance 4150 Worker's compensation TOTAL PERSONAL SERVICES $ S S $ S SUPPLIES: 4212 Fuels and tubes $ S S $ $ 4217 Clothing /laundry allowance 4220 Office supplies 4221 Operating supplies 4222 Repair & maintenance supplies - - - - - 4225 Small tools and minor equipment TOTAL SUPPLIES S $ $ $ S OTHER SERVICES AND CHARGES: 4330 Professional services $ $ 3,960 $ 3,000 $ 1,192 $ 3,000 4331 Dues and subscriptions - - - - 4332 Communication 4333 Transportation - 4334 Advertising 116 4335 Printing and binding - 4336 Insurance, non-personnel 4337 Conferences and school 4338 Utility services - - - - - 4340 Services contracted -Non Professional 2,077 3,540 3,500 4346 Miscellaneous 4350 Payments to other governments - - - - - 4355 Seminars and Training TOTAL OTHER SERVICES AND CHARGES S $ 6,153 S _ 3,000 $ 4,732 $ 6,500 CAPITAL OUTLAY: 4510 Land $ 300,000 $ - S 300,000 $ $ 4520 Building 25,000 25,000 4530 Improvements other than bldg - - 4536 Parking Facilities 4537 Streets and Sidewalks 4540 Machinery 4560 Furniture and fixtures TOTAL CAPITAL OUTLAY $ 325,000 $ $ 325,000 $ S TOTAL EXPENDITURES $ 325,000 $ 6,153 $ 328,000 $ 4,732 $ 6,500 EXCESS (DEFICIT) OF REVENUES OVER EXPENSES $ (300,000) $ 18,468 $ (299,000) $ 7,512 $ 26,579 OTHER FINANCING SOURCES (USES): Operating Transfers In $ 200,000 $ - $ 200,000 $ $ - Operating Transfers Out - (115) - Transfers in from City Transfers to City Interfund Loans TOTAL, OTHER FINANCING SOURCES (USE S 200,000 $ (115) $ 200,000 $ $ TOTAL REVENUES OVER/(UNDER) EXPENSES $ (100,000) $ 18,353 $ (99,000) $ 7,512 $ 26,579 BUDGET FUND BALANCE, JANUARY 1 $ 147,095 $ 147,095 $ 165,448 $ 165,448 $ 172,960 BUDGET FUND BALANCE, DECEMBER 31 $ 47,095 $ 165,448 $ 66,448 $ 172,960 $ 199,539 1/26/2006 To: William W. Burns, Executive Director of HRA Paul Bolin, Assistant Director of HRA From: Richard D. Pribyl, Finance Director Mike Jeziorski, HRA Accountant Re: Amending Resolution Authorizing Execution of a Tax Increment Pledge Agreement Date: February 2, 2006 Attached you will find a resolution that was prepared by Mary Ippel from the firm of Briggs and Morgan. This action has the effect of removing Tax Increment District #6 from the Pledge Agreement that was executed in conjunction with the 20058 Bonds. As staff was reviewing the transcript of proceedings for the 2005 Bond, we noticed that Tax Increment District #6 has been mistakenly included as one of the TIF districts that had been pledged as tax increment. TIF #6 is fully pledged to the Lake Pointe District and should not have been used in conjunction with the repayment of the 2005 Bonds. This resolution correctly removes TIF District #6 from the revenue pledge. After approval by the Authority Staff we will bring this to the City Council for their approval. Staff recommends its approval. RDP/me Attachment HRA RESOLUTION NO. , 2006 AMENDING RESOLUTION AUTHORIZING EXECUTION OF A TAX INCREMENT PLEDGE AGREEMENT WHEREAS, by resolution duly adopted by the Board of Commissioners on June 2, 2005 (the "Authority's Resolution "), the Housing and Redevelopment Authority of the City of Fridley, Minnesota (the "Authority "), the Authority was authorized to enter into a Tax Increment Pledge Agreement (the "Tax Increment Pledge Agreement ") with the City of Fridley, Minnesota (the "City "); and WHEREAS, by resolution duly adopted by the City Council on May 23, 2005 (the "Bond Resolution "), the City Council of the City of Fridley, Minnesota (the "City "), issued $4,645,000 General Obligation Tax Increment Refunding Bonds, Series 2005B, dated June 15, 2005 (the "Bonds "); and WHEREAS, the Bond Resolution, and consequently the Authority's Resolution and the Tax Increment Pledge Agreement, incorrectly pledged tax increments received from Tax Increment Financing District No. 6, heretofore created by the Authority within Redevelopment Project No. 1, to the payment of the Bonds; and WHEREAS, the Board hereby determines that the Authority's Resolution must be amended to correctly identify the source of the tax increments which are pledged to the payment of the Bonds, such tax increments specifically being tax increments derived from Tax Increment Financing Districts 1, 2 and 3; and NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Fridley, Minnesota, as follows: The Amended Tax Increment Pledge Agreement, a form of which is now on file in the office of the Authority, is hereby approved in substantially the form submitted to the Authority and the Chair and Executive Director are authorized and directed to execute the same on behalf of the Authority. The Executive Director is hereby directed to file a certified copy of this resolution and the Amended Tax Increment Pledge Agreement with the Office of Anoka County Property Records and Taxation (the "County "), together with such other information as the County shall require, and to obtain from the County the certificate that this Resolution and the Amended Tax Increment Pledge Agreement have been filed with the County, pursuant to Minnesota Statutes, Section 469.178, Subdivision 2. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS DAY OF FEBRUARY, 2006. LAWRENCE R. COMMERS HRA CHAIRPERSON ATTEST: DEBRA A. SKOGEN — CITY CLERK MEMORANDUM raw FINANCE DEPARTMENT ri RICHARD D. PRIBYL CITY OF FRIDLEY SM&F FINANCE DIRECTOR To: William W. Burns, Executive Director of HRA Paul Bolin, Assistant Director of HRA From: Richard D. Pribyl, Finance Director Mike Jeziorski, HRA Accountant Re: Amending Resolution Authorizing Execution of a Tax Increment Pledge Agreement Date: February 2, 2006 Attached you will find a resolution that was prepared by Mary Ippel from the firm of Briggs and Morgan. This action has the effect of removing Tax Increment District #6 from the Pledge Agreement that was executed in conjunction with the 2005B Bonds. As staff was reviewing the transcript of proceedings for the 2005 Bond, we noticed that Tax Increment District #6 has been mistakenly included as one of the TIF districts that had been pledged as tax increment. TIF #6 is fully pledged to the Lake Pointe District and should not have been used in conjunction with the repayment of the 2005 Bonds. This resolution correctly removes TIF District #6 from the revenue pledge. After approval by the Authority Staff we will bring this to the City Council for their approval. Staff recommends its approval. RDP/me Attachment HRA RESOLUTION NO. 2006-01 AMENDING RESOLUTION AUTHORIZING EXECUTION OF A TAX INCREMENT PLEDGE AGREEMENT WHEREAS, by resolution duly adopted by the Board of Commissioners on June 2, 2005 (the "Authority's Resolution"), the Housing and Redevelopment Authority of the City of Fridley, Minnesota (the "Authority"), the Authority was authorized to enter into a Tax Increment Pledge Agreement (the "Tax Increment Pledge Agreement") with the City of Fridley, Minnesota (the "City"); and WHEREAS, by resolution duly adopted by the City Council on May 23, 2005 (the "Bond Resolution"), the City Council of the City of Fridley, Minnesota (the "City"), issued $4,645,000 General Obligation Tax Increment Refunding Bonds, Series 2005B, dated June 15, 2005 (the "Bonds"); and WHEREAS, the Bond Resolution, and consequently the Authority's Resolution and the Tax Increment Pledge Agreement, incorrectly pledged tax increments received from Tax Increment Financing District No. 6, heretofore created by the Authority within Redevelopment Project No. 1, to the payment of the Bonds; and WHEREAS, the Board hereby determines that the Authority's Resolution must be amended to correctly identify the source of the tax increments which are pledged to the payment of the Bonds, such tax increments specifically being tax increments derived from Tax Increment Financing Districts 1, 2 and 3; and NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the Housing and Redevelopment Authority of the City of Fridley, Minnesota, as follows: The Amended Tax Increment Pledge Agreement, a form of which is now on file in the office of the Authority, is hereby approved in substantially the form submitted to the Authority and the Chair and Executive Director are authorized and directed to execute the same on behalf of the Authority. The Executive Director is hereby directed to file a certified copy of this resolution and the Amended Tax Increment Pledge Agreement with the Office of Anoka County Property Records and Taxation (the "County"), together with such other information as the County shall require, and to obtain from the County the certificate that this Resolution and the Amended Tax Increment Pledge Agreement have been filed with the County, pursuant to Minnesota Statutes, Section 469.178, Subdivision 2. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 2nd DAY OF FEBRUARY, 2006. LAWRENCE R.. COMMERS HRA CHAIRPERSON ATTEST: DEBRA A. SKOGEN — CITY CLERK A-7V ACTION ITEM HRA MEETING OF FEBRUARY 2,2006 MY • FRIDLEY Date: January 26, 2006 To: William Burns, Executive Director From: Paul Bolin, Asst. Executive HRA Director Subiect: GatewaV West — Development Agreement M-06-21 Based on the information agreed upon in the terms agreement, discussions with the attorney for Blue Print Homes, and a review of the prevailing wage ordinance, legal counsel has drafted the attached development agreement and provided a copy to Blue Print Homes for their review and approval. Staff had a discussion with Jeff Magdic on January 20th, during which he stated his only concern with the development agreement, provided to them in December, had been the prevailing wage requirements. Mr. Magdic's attorney has been working on some of his concerns with the HRA legal counsel. Mr. Magdic is currently out of the country until February 4th, and will not be able to sign the development agreement prior to the HRA meeting. Staff requests that the HRA review and approve the development agreement as presented. If Mr. Magdic and his legal counsel still have concerns over the wording of the agreement, staff will bring the document back for amendment on March 2, 2006. v2 '�T v4 1 -22 -06 CONTRACT FOR PRIVATE REDEVELOPMENT by and between the HOUSING AND REDEVELOPMENT AUTHORITY in and for THE CITY OF FRIDLEY, MINNESOTA and BLUEPRINT HOMES, INC. This document was drafted by: Krass Monroe, P.A. 8000 Norman Center Drive, Suite 1000 Minneapolis, MN 55437 TABLE OF CONTENTS ARTICLE I DEFINITIONS Section1.1 Definitions ............................................................................ ..............................3 ARTICLE II REPRESENTATIONS, WARRANTIES AND COVENANTS Section 2.1 Representations, Warranties and Covenants by the Authority ...........................5 Section 2.2 Representations, Warranties and Covenants by the Redeveloper .......................7 ARTICLE III CONVEYANCE OF THE REDEVELOPMENT PROPERTY; UNDERTAKINGS OF AUTHORITY AND REDEVELOPER Section 3.1 Conveyance of the Redevelopment Property ....................... ..............................9 Section3.2 Letter of Credit ...................................... ............................... ............................414 Section 3.3 Conditions Precedent to Conveyance ................................. .............................44 Section 3.4 Documents at Closing ........................................................ ..............................4 -2 ARTICLE IV CONSTRUCTION OF SITE IMPROVEMENTS, PUBLIC IMPROVEMENTS AND MINIMUM IMPROVEMENTS Section 4.1 Public Improvements ........................... ............................... .............................4-4 Section 4.2 Construction of Site Improvements and Minimum Improvements .................44 Section 4.3 Preliminary Plans and Construction Plans ........................ ............................4 -4 Section 4.4 Certificates of Completion ........................................... ............................... 4-6 i ARTICLE V IM�`ii-TWOW Section 5.1 Redeveloper Insurance ....................................................... ..............................4-7 Section 5.2 Subcontractor Insurance ...................................................... ..............................P ARTICLE VI PROHIBITIONS AGAINST ASSIGNMENT AND TRANSFER; INDEMNIFICATION Section 6.1. Representation as to Redevelopment ................................... ............................4 -9 Section 6.2. Prohibition Against Transfer of Property and Assignment of Agreement ......................................... ..............................4-8 Section 6.3. Release and Indemnification Covenants .............................. ............................4 -9 ARTICLE VII EVENTS OF DEFAULT Section 7.1 Events of Default Defined ................................................... .............................24 Section 7.2 Remedies on Default ............................................................ .............................24 Section 7.3 No Remedy Exclusive ......................................................... .............................22 Section7.4 No Implied Waiver .............................................................. .............................22 Section 7.5 Agreement to Pay Attorney's Fees and Expenses ............... .............................22 Section 7.6 Revesting Title in Authority Upon Happening of Event Subsequent to Conveyance to Redeveloper ........... .............................22 Section 7.7 Resale of Reacquired Property; Disposition of Proceeds ... .............................23 Section7.8 Subordination ...................................................................... .............................24 11 ARTICLE VIII ADDITIONAL PROVISIONS seefien 8.1 PFev Section 848.1 Conflict of Interest .............................................................. .............................26 Section 8 -38.2 Restrictions on Use ............................................................. .............................26 Section 8,48.3 Provisions Not Merged With Deed ..................................... .............................26 Section 8—.58.4 Notices and Demands ......................................................... .............................27 Section 8-:68_5 Counterparts ........................................................................ .............................27 Section 8,78.6 Law Governing ................................................................... .............................27 Section8,98.7 Termination ......................................................................... .............................27 Section X38_8 Provisions Surviving Termination ...................................... .............................27 SIGNATUREPAGES ...................................................................................... .............................28 SCHEDULE A Description of Redevelopment Property .......................... .............................21 SCHEDULE B Form of Redevelopment Property Deed .......................................................-341- SCHEDULE C Form of Certificate of Completion and Release of Forfeiture .......................3 -3 SCHEDULE D Public Improvements ........................................................ ............................3-5 SCHEDULE E Site Improvements ........................................................... .............................36 SCHEDULEWage i'Ce QIlIei ...................................... ............................... iii CONTRACT FOR PRIVATE REDEVELOPMENT THIS AGREEMENT is made on or as of the 1 st day of December, 2005 by and between the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota (the "Authority'), a public body corporate and politic of the State of Minnesota, and Blueprint Homes, Inc., a Minnesota corporation (the "Redeveloper "), WITNESSETH: WHEREAS, the Board of Commissioners (the "Board ") of the Authority has determined that there is a need for development and redevelopment within the corporate limits of the City of Fridley, Minnesota (the "City') to provide employment opportunities, to provide adequate housing in the City, including low and moderate income housing and housing for the elderly, to improve the tax base and to improve the general economy of the City and the State of Minnesota; WHEREAS, in furtherance of these objectives the Authority has established, pursuant to Minnesota Statutes, Sections 469.001 to 469.047 (the "Act "), the Redevelopment Plan (the "Redevelopment Plan") for its Redevelopment Project No. 1 (the "Project Area ") in the City to encourage and provide maximum opportunity for private development and redevelopment of certain property in the City which is not now in its highest and best use; WHEREAS, in furtherance of these objectives and in connection with the Project Area the Authority has also established Tax Increment Financing District No. 18 (the "Tax Increment District ") pursuant to Minnesota Statutes, Section 469.174 et seq., as amended (the "Tax Increment Act "); WHEREAS, the Project contemplated by this Agreement promotes the following objectives of the Redevelopment Plan: 1. Promote and secure the prompt redevelopment of certain property in the Project Area, which property is not now in its highest and best use, in a manner consistent with the City's Comprehensive Plan and with a minimum adverse impact on the environment, and thereby promote and secure the redevelopment of other land in the City; 2. Provide for the financing and construction for public improvements in and adj acent to the Project Area necessary for the orderly and beneficial redevelopment of the Project Area and adjacent areas of the City; 3. Create a desirable and unique character within the Project Area through quality land use alternatives and design quality in new or remodeled buildings; 4. Stimulate private activity and investment to stabilize and balance the City's housing supply; and 5. Encourage and provide maximum opportunity for private redevelopment of existing areas and structures which are compatible with the Project Area; and WHEREAS, in order to achieve the objectives of the Authority and the City in creating the Project Area and adopting the Redevelopment Plan, the Authority is prepared to provide assistance in accordance with this Agreement; and WHEREAS, the Authority believes that the development and redevelopment of the Project Area pursuant to this Agreement, and fulfillment generally of the terms of this Agreement, are in the vital and best interests of the Authority and the health, safety, morals and welfare of its residents, and in accordance with the public purposes and provisions of applicable federal, state and local laws under which the development and redevelopment are being undertaken and assisted; NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 2 ARTICLE I Definitions Section 1.1. Definitions. In this Agreement, unless a different meaning clearly appears from the context: "Act" means Minnesota Statutes, Sections 469.001 to 469.047. "Agreement" means this Agreement, as the same may be from time to time modified, amended or supplemented. "Authority" means the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, its successors or its assigns. "Board" means the Board of Commissioners of the Authority. "Certificate of Completion" means a certification in the form of the certificate contained in Schedule C attached hereto and provided to the Redeveloper pursuant to Section 4.4. "City" means the City of Fridley, Minnesota, its successors or its assigns. "Closing" or "Closing Date" means the date of eaeb ,.efwe.,. nee eftespective dates on which a portion of the Redevelopment Property fis conveyed by the Authority to the Redeveloper pursuant to Article III. "Construction Plans" means the plans, specifications, drawings and related documents on the construction work to be performed by the Redeveloper on the Redevelopment Property which plans (a) shall be as detailed as the plans, specifications, drawings and related documents which are submitted to the building inspector or building official of the City, and (b) shall include at least the following for each building: (1) site plan; (2) foundation plan; (3) floor plan for each floor; (4) elevations (all sides); (5) landscape plan; (6) cross sections (length and width); and (7) such other plans or supplements to the foregoing plans as the Authority may reasonably request. "Council" means the Council of the City. "County" means the County of Anoka, Minnesota. "Event of Default" means an event of default as defined in Section 7.1. "Letter of Credit" means the irrevocable letter of credit to be provided by the Redeveloper to the Authority pursuant to Section 3.2 to secure the Redeveloper's obligations to accept conveyance of the Redevelopment Property and pay the Purchase Price. 3 "Minimum Improvements" means 16 single - family homes to be constructed by the Redeveloper on the Redevelopment Property. "Minnesota Environmental Rights Act" means Minnesota Statutes, Section 116B.01 et seq., as amended. "Project" means the Redevelopment Property, the Site Improvements and the Minimum Improvements. "Project Area" means Redevelopment Project No. 1 established by the Authority. "Public Improvements" means the public improvements to be performed or constructed by the Authority on or adjacent to the Redevelopment Property and described in Schedule D. "Purchase Price" means $700,000, or $43,750 for each of 16 home lots. "Redeveloper" means Blueprint Homes, Inc., a Minnesota corporation, and its permitted successors and assigns. "Redevelopment Plan" means the Redevelopment Plan adopted by the Authority for its Redevelopment Project No. 1, as amended. "Redevelopment Property" means the real property described in Schedule A attached hereto. "Redevelopment Property Deed" means a quit claim deed substantially in the form appearing in Schedule B attached hereto. "Site Improvements" means the improvements to the Redevelopment Property described in Schedule E attached hereto. "State" means the State of Minnesota. "Tax Increment Act" means Minnesota Statutes, Section 469.174 et seq., as amended. "Tax Increment District" means Tax Increment Financing District No. 18 created by the Council in connection with the Redevelopment Plan. "Tax Increment Plan" means the tax increment financing plan adopted by the Authority in connection with the creation of the Tax Increment District. "Termination Date" means the termination date of this Agreement pursuant to Section "Unavoidable Delays" means delays which are the direct result of strikes or other labor troubles, delays which are the direct result of unforeseeable and unavoidable casualties to the El Redevelopment Property, the Project, or the equipment used to construct the Redevelopment Project, delays which are the direct result of governmental actions, delays which are the direct result of judicial action commenced by third parties, delays which are the direct result of citizen opposition or action affecting this Agreement, environmental delays which are the direct result of the implementation of an environmental agency- approved work plan for remediation, and delays which are the direct result of anR&&ally-severe or- pr-elenged-49-a& weather which prevents or delUs construction of Minimum Improvements, acts of God, fire or other casualty to the Project. ARTICLE II Representations, Warranties and Covenants Section 2.1. Representations. Warranties and Covenants by the Authority. The Authority makes the following representations as the basis for the undertaking on its part herein contained: (a) The Authority is a public body duly organized and existing under the laws of the State. Under the provisions of the Act, the Authority has the power to enter into this Agreement and carry out its obligations hereunder. This Agreement has been or will be duly authorized by all necessary action on the part of the Authority and has been duly executed and delivered by the Authority. The Authority's execution, delivery and performance of this Agreement will not conflict with or result in a violation of any judgment, order, or decree of any court or government agency. This Agreement is a valid and binding obligation of the Authority and is enforceable against the Authority in accordance with its terms. There is no action, litigation, condemnation or proceeding of any kind pending or, to the best of the Authority's knowledge, threatened which would have a material and adverse affect on the ability of the Authority to perform its obligations under this Agreement or against the Redevelopment Property, or any portion thereof. (b) The Authority has approved the Redevelopment Plan in accordance with the terms of the Act. (c) The Authority has approved the Tax Increment District pursuant to the Tax Increment Act. (d) The Authority, subject to Unavoidable Delays, shall convey title to the Redevelopment Property pursuant to Article III to the Redeveloper for the Redeveloper's use in accordance with the Plan and this Agreement. (e) Subject to Unavoidable Delays, the Authority shall complete the Public Improvements as soon as possible. (f) The Authority will cooperate with the Redeveloper with respect to any litigation commenced by third parties in connection with this Agreement. 5 (g) Exeept as set fefth below, the Aitthefity makes ne fepfesentatien, waffaat),, either- expfess er- implied, and hereby assumes ne r-espensibility er- liability as to the of epw se "h' The Authority has no knowledge of the presence of any hazardous substances (as the same are described in the regulations promulgated under the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended by the Superfund Amendments and Reauthorization Act of 1986, and/or in the environmental laws of the State of Minnesota, and specifically including petroleum and related hydrocarbons and their byproducts, asbestos, and polychlorinated biphenyls) in, on or under the Redevelopment Property. ( }h) The Authority shall provide the Redeveloper with all existing environmental reports, including any Phase I and Phase II environmental site assessments, for the Redevelopment Property as well as all existing soil tests and/or reports. The Authority shall share with the Redeveloper any information which comes to the attention of the Authority after the final execution of this Agreement and which relates to hazardous substances on the Redevelopment Property. (i) The Minimum Improvements, as of the date hereof, constitute an allowed use (either as a permitted use, a special use, or a conditional use) under the zoning ordinance of the Cites Section 2.2. Representations, Warranties and Covenants by the Redeveloper. The Redeveloper represents and warrants that: (a) The Redeveloper is a corporation organized and existing under the laws of the State, is authorized to transact business in the State, and has duly authorized the execution of this Agreement and the performance of its obligations under this Agreement. None of the execution and delivery of this Agreement, the consummation of the transactions contemplated by this Agreement, or the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with the terms of any indebtedness, agreement or instrument of whatever nature to which the Redeveloper is now a parry or by which it is bound. (b) The Redeveloper will purchase the Redevelopment Property from the City pursuant to Article III and, in the event the Redevelopment Property is conveyed to the Redeveloper, the Redeveloper will construct and maintain (until sale of the single- family homes to bona fide purchasers), the Minimum Improvements in accordance with the terms of this Agreement and all applicable local, State and Federal laws and regulations (including, but not limited to, environmental, zoning, building code and public health laws and regulations). (c) As of the date of execution of this Agreement, the Redeveloper has received no notice or communication from any local, state or federal official that the anticipated activities of the Redeveloper with respect to the Redevelopment Property may be or will be in violation of any environmental law or regulation. As of the date of execution of this Agreement, the Redeveloper is aware of no facts, the existence of which would cause it to be in violation of any local, state or federal environmental law, regulation or review procedure or which would give any person a valid claim under the Minnesota Environmental Rights Act. 2 (d) The Redeveloper will use its best efforts to obtain, in a timely manner, all required permits, licenses and approvals, and will meet, in a timely manner, all requirements of all applicable local, state and federal laws and regulations which must be obtained or met before the Minimum Improvements may be lawfully constructed. (e) The Redeveloper shall pay the normal and customary City fees and expenses for the approval and construction of the Project including, but not limited to, bonding requirements, building permit fees, sewer accessibility charges (SAC), water accessibility charges (WAC) and park dedication fees. The City has agreed to waive its normal fees for right -of -way vacations and for replatting. (f) Except as specifically set forth herein, and the Public Improvements to be constructed by the Authority pursuant to Schedule D, the Redeveloper is purchasing ara�-4easing the Redevelopment Property "as is ", based solely on the Redeveloper's examination of the Redevelopment Property and with the understanding that there is no warranty by the City that the Redevelopment Property is fit for any particular purpose. (hg) The Redeveloper agrees that it will cooperate with the Authority with respect to any litigation commenced by third parties in connection with this Agreement. (ih) The financing arrangements which the Redeveloper has obtained or will obtain to finance the acquisition of the Redevelopment Property and the construction of the Minimum Improvements, will be sufficient to enable the Redeveloper to successfully complete the Minimum Improvements as contemplated in this Agreement. (fii) Once acquired by the Redeveloper, the Redevelopment Property will not become exempt from the levy of ad valorem property taxes, or any statutorily authorized alternative, and any improvements of any kind constructed on the Redevelopment Property will similarly not become exempt until the Termination Date: (ki) The Redeveloper agrees that it will not assign, convey or lease any interest in the Redevelopment Property or any portion thereof, or this Agreement or any portion thereof, to any tax - exempt entity under the U.S. Internal Revenue Code of 1986, as the same may be amended from time to time, without the prior written approval of the Authority. (Lk) Purchasers of homes shall be subject to a deed restriction that fencing may not be constructed along University Avenue. 7 ARTICLE III Conveyance of the Redevelopment Property; Undertakings of Authority and Redevelouer Section 3.1. Conveyance of the Redevelopment Property. (a) Title. The Authority shall convey marketable title to and possession of each portion of the Redevelopment Property to the Redeveloper under a quit claim deed in the form of the Redevelopment Property Deed contained in Schedule B. At its expense, the Redeveloper shall obtain any title insurance and endorsements it deems necessary. The Authority will cooperate with the Redeveloper to ensure that all purchasers of homes are provided with clear and marketable title. At its expense, the Authority agrees to obtain and shall deliver to the Redeveloper a commitment for an owner's title insurance policy (ALTA Form B) issued by a title insurance company acceptable to the Authority and Redeveloper (the "Title Company"), naming Redeveloper as the proposed owner - insured of the Redevelopment Property in the amount of the Purchase Price (the "Commitment "). The Commitment shall include removal of or endorsement over general exceptions by means of an extended coverage endorsement. The Commitment shall have a current date as its effective date and shall commit to insure marketable title to the Redevelopment Property in the Redeveloper. Such insurance shall be free and clear of all mechanic's lien claims, questions of survey, unrecorded interests, rights of parties in possession or other exceptions customarily excluded from such insurance. Such insurance shall also be free and clear of all other liens and encumbrances. The Commitment shall set forth all levied real estate and special assessments related to the Redevelopment Property. The Commitment shall include such title policy endorsements as may be reasonably requested by the Redeveloper. The Commitment shall have attached copies of all instruments of record which create any easements or restrictions which are referred to in Schedule B of the Commitment. The Redeveloper will be allowed twenty (20) days after receipt of the Commitment and Survey to make an examination thereof and to make any objections to the marketability of the title to the Redevelopment Property, objections to be made by written notice or to be deemed waived. Upon receipt of the Redeveloper's list of written objections, the Authority shall proceed in good faith and with all due diligence to attempt to cause the objections made by the Redeveloper to be cured. A title objection shall be deemed to be cured if the Title Company agrees to issue an endorsement to the owner's title insurance policy affirmatively insuring over such objection. (b) Survey. The Authority agrees to provide and pay for a boundary survey of the Redevelopment Property sufficient to permit conveyance thereof (the "Survey"). The Redeveloper shall pay for any survey(s) necessary to replat or reconvey the Redevelopment Property, or any portion thereof. (c) Title Not Marketable. If the title to the relevant portion of the Redevelopment Property is not marketable as evidenced by the Commitment and the Survey, together with any appropriate endorsements, and is not made so by the Closing Date, the Redeveloper may either: (i) Terminate this Agreement (entirely, or only as to the affected portion of the Redevelopment Property) by giving written notice to the Authority, in which event this Agreement shall become null and void (entirely, or only as to the affected portion of the Redevelopment Property) and neither party shall have any further rights or obligations hereunder; or (ii) Elect to accept the title in its unmarketable or existing condition by giving written notice to the Authority, in which event the Redeveloper shall (A) hold back adequate funds from the amount of the payment due to the Authority on such Closing Date to cure the defects, (B) apply such holdback funds to the cost of curing such defects, including attorneys' fees, and (C) pay the unexpended balance, if any, to the Authority. If the cost to cure the defects exceeds the amount of the payment due to the Authority on such Closing Date, the excess shall be credited against future Purchase Price payments. If the amount of such holdback/credit cannot be mutually agreed to by the Authority and the Redeveloper, the Title Company shall determine the amount. The Authority will fully cooperate with the Redeveloper in attempting to cure any and all such defects. (d) Conveyance, Purchase Price and Closings. Subject to the terms of this Agreement, the Authority agrees to sell and the Redeveloper agrees to purchase the Redevelopment Property for the Purchase Price. The Authority shall execute and deliver to the Redeveloper a Redevelopment Property Deed on each Closing. The conveyance of title to each portion of the Redevelopment Property pursuant to the Redevelopment Property Deed shall be subject to all of the conditions, covenants, restrictions and limitations imposed by this Agreement and the Redevelopment Property Deed. The Redeveloper shall promptly record each Redevelopment Property Deed. Each Closing shall take place at the principal offices of the Authority unless the parties mutually agree in writing that the Closing shall take place at another location. Closings shall occur according to the following schedule: (i) For the three (3) home lots on 57h Place NE on which the model homes will be constructed as soon as practicable following the Authority's completion of the Public Improvements which are required to be completed before such conveyance and recordation of the final plat; and (ii) For at least an additional two (2) home lots on at least a quarterly basis thereafter. The Purchase Price of $43,750 for each home lot shall be paid at each Closing. (e) Inspection. At the Redeveloper's expense, the Redeveloper and its agents are hereby granted the right for a period of 30 days following execution of this Agreement to inspect and test the Redevelopment Property. The Redeveloper shall hold the Indemnified Parties (as defined in Section 6.3) harmless from and shall indemnify the Indemnified Parties for any liability resulting from W entering upon the Redevelopment Property or performing any of the tests or inspections referred to in this Section. (f) Taxes; Special Assessments; Other Pro Rations. Real estate taxes due and payable prior to the year of Closing shall be paid by the Authority. Real estate taxes due and payable in the year of Closing shall be allocated between the parties based on their respective period of ownership in the year of Closing. Real estate taxes due and payable in the years subsequent to the Closing shall be paid by the Redeveloper. The Authority shall pay all special assessments pending or levied as of each Closing Date. The Redeveloper shall pay all special assessments after the Closing Date. The Redeveloper shall bear all costs of recording the Redevelopment Property Deed except as set forth below. The Authority shall pay the State tax due in connection with conveyance of the Redevelopment Property and shall pay the cost of recording any document necessary to place title in the condition described in this Agreement. The Redeveloper shall pay all other recording costs incurred in connection with this Agreement. The parties shall equally share other closing costs. Each party shall pay all sums in cleared funds on the Closing Date. (g) Plat; Covenants; Easements. The Redeveloper at its expense shall replat the Redevelopment Property. The Redeveloper shall pay all costs for plats, replats, lot splits, preparation of restrictive covenants, easements and any other documentation necessary for the construction and sale of the Minimum Improvements and all costs of recording any such documents. Section 3.2. Letter of Credit. (a) At the first Closing, the Redeveloper shall furnish or cause to be furnished to the Authority an irrevocable Letter of Credit reasonably acceptable in form and substance to the Authority from a financial institution reasonably acceptable to the Authority. The amount of the Letter of Credit shall initially be in the amount of $568,750 (which is the total Purchase Price less payment for the first three home lots) and thereafter may be reduced to the balance owing of the Purchase Price as payments are made to the Authority. (b) The Letter of Credit shall be held by the Authority as collateral to ensure that Closings occur and the balance of the Purchase Price is paid as set forth above. If a Closing fails to occur due to no fault of the Authority, the Authority may present the Letter of Credit for payment, and, at the Authority's option, use as much of the proceeds thereof as are necessary to make the delinquent payment(s). Any excess proceeds from the Letter of Credit not needed to make the delinquent payment(s) shall be paid to the Redeveloper. The Letter of Credit shall be released upon payment in full of the Redeveloper's payment obligations hereunder. Section 3.3. Conditions Precedent to Convey. (a) The obligation of the Authority to convey the relevant portion of the Redevelopment Property to the Redeveloper at each Closing shall be subject to the following conditions precedent: (i) The Redeveloper shall be in material compliance with all of the terms and provisions of this Agreement; 10 (ii) The Authority shall be satisfied that the Redeveloper's financing is sufficient to complete the Project; (iii) The Authority shall have approved the Construction Plans for the Project; (iv) The Redeveloper shall have obtained building and all other permits required for the construction of the Minimum Improvements on lots purchased; (v) The Redeveloper shall have paid the appropriate portion of the Purchase Price as described in Section 3.1; (vi) The Redeveloper shall have provided the Letter of Credit; and (viii) Each of the Redeveloper's representations and warranties set forth in Section 2.2 shall be true as of the Closing Date and the Redeveloper shall so certify in writing at each Closing. (b) The obligation of the Redeveloper to purchase the relevant portion of the Redevelopment Property at each Closing shall be subject to the following conditions precedent: (i) The environmental condition of the Redevelopment Property to be conveyed not including any required soil corrections, shall be suitable for the construction of the Minimum Improvements; (ii) The Authority shall have completed the Public Improvements required to be completed before such conveyance and shall be in material compliance with all other terms and provisions of this Agreement; (iii) Title to the Redevelopment Property to be conveyed shall be acceptable to the Redeveloper; and (iv) Each of the Authority's representations and warranties set forth in Section 2.1 shall be true as of the applicable Date of Closing and the Authority shall so certify in writing at each Closing. Section 3.4. Documents at Closing. (a) At each Closing, the Authority shall deliver to the Redeveloper: (i) The Redevelopment Property Deed, (ii) All certificates, instruments and other documents necessary to permit the recording of the Redevelopment Property Deed, 11 (iii) A standard Seller's Affidavit properly executed on behalf of the Authority with respect to judgments, bankruptcies, tax liens, mechanics liens, parties in possession, unrecorded interests, encroachment or boundary line questions and related matters, (iv) If applicable, the owner's duplicate certificate of title to the Redevelopment Property. The Authority need not provide an abstract of title if the property is classified as abstract property, (v) An affidavit of the Authority in form and content satisfactory to the Redeveloper stating that the Authority is not a "foreign person" within the meaning of Section 1445 of the Internal Revenue Code, and (vi) The certification as to representations and warranties described in Section 3.3(b)(iv). (b) At each Closing, the Redeveloper shall deliver to the Authority: 3.3(a)(viii), (i) With respect to the first Closing only, the Letter of Credit, (ii) The relevant portion of the Purchase Price in cleared funds, (iii) A Certificate of Real Estate Value, and (iv) The certification as to representations and warranties described in Section ARTICLE IV Construction of Site Improvements, Public Improvements and Minimum Improvements Section 4.1. Public Improvements. The Authority will construct at no cost to the Redeveloper the Public Improvements set forth on Schedule D as soon as practicable, but no later than June 1, 2006 (subject to Unavoidable Delays). The Redeveloper shall not be required to accept conveyance of any portion of the Redevelopment Property unless the Authority has completed the Public Improvements required to be completed before such conveyance. The Redevelopment Pro ggy will not be specially assessed for the Public Improvements. Section 4.2. Construction of Site Improvements and Minimum Improvements. (a) Subject to the acquisition of the Redevelopment Property, the Redeveloper shall perform and pay for all Site Improvements described in Schedule E in accordance with City specifications. In addition, the City may request that the Redeveloper perform any required 12 environmental remediation, the cost of which shall be deducted from future payments of the Purchase Price or, to the extent remediation exceeds the Purchase Price, reimbursed by the Authority to the Redeveloper. To the extent such remediation is outside the Redeveloper's expertise, the Redeveloper shall coordinate such remediation and shall be reimbursed for its time. (b) The Minimum hmprovements consist of 16 for -sale single - family homes. The first homes to be constructed shall be three model homes on the three home lots on 57th Place NE. The Redeveloper shall use its best efforts to cause the unit sales prices of all homes to average approximately $300,000. Floor plans and home designs will be consistent with the plans included in the Redeveloper's response to the Authority's Request for Proposals. The quality of the Minimum Improvements shall be comparable to or better than that currently being constructed by the Redeveloper at its projects in Hugo, Blaine, and Oak Grove. The Redeveloper shall construct the Minimum Improvements in accordance with the Construction Plans approved by the Authority. Subject to Unavoidable Delays, Redeveloper shall begin construction on or about April 15, 2006 or as soon as the lifting of winter road restrictions permit, and shall complete construction on or about June 30, 2008. In the event the Authority fails to complete the Public hnprovements on or before June 1, 2006, the aforementioned construction dates for the Redeveloper shall be corres op ndingly extended without penalty. Section 4.3. Preliminary Plans and Construction Plans. (a) Preliminary Plans. The Redeveloper shall submit Preliminary Plans to the Authority consisting of typical floor plans and sketches of the typical exterior and interior of the proposed Minimum hnprovements which illustrate the size and character of the proposed buildings. The Preliminary Plans shall not be inconsistent with this Agreement or any applicable state and local laws and regulations, insofar as said consistency may be determined at said preliminary stage. If approval of the Preliminary Plans is requested in writing by the Redeveloper at the time of submission thereof to the Authority, the Authority shall approve or reject (in whole or in part) such Preliminary Plans in writing within twenty (20) days after the date of receipt thereof. If no written rejection is made within said twenty (20) days, the Preliminary Plans shall be deemed approved by the Authority. Any rejection shall set forth in detail the reasons therefor. If the Authority rejects the Preliminary Plans, in whole or in part, the Redeveloper shall submit new or revised Preliminary Plans within a reasonable time after receipt by the Redeveloper of the notice of rejection. The provisions of this Section relating to approval, rejection and resubmission of new or revised Preliminary Plans shall continue to apply until the Preliminary Plans have been approved by the Authority. The Authority's approval of the Preliminary Plans shall not be unreasonably withheld. (b) Construction Plans. Prior to the Redeveloper's commencement of construction of the Minimum Improvements, the Redeveloper shall submit Construction Plans to the Authority. The Construction Plans shall provide for the construction of the Minimum hnprovements and shall be in conformity in all material respects with this Agreement, the Preliminary Plans, and all applicable state and local laws and regulations. The Authority shall approve the Construction Plans in writing if. (i) the Construction Plans conform in all material respects to the terms and conditions of the Preliminary Plans and this Agreement; (ii) the Construction Plans conform to all applicable federal, State and local laws, ordinances, rules and regulations; (iii) the Construction Plans are adequate to 13 provide for the construction of the Minimum Improvements; and (iv) no Event of Default has occurred and is continuing. No approval by the Authority shall be deemed to relieve the Redeveloper of the obligation to comply with the terms of this Agreement and applicable federal, State and local laws, ordinances, rules and regulations, or to construct the Minimum Improvements in accordance therewith. No approval by the Authority shall constitute a waiver of any Event of Default. Upon the Redeveloper's submittal of the Construction Plans to the Authority, such Construction Plans shall be deemed approved unless rejected in writing by the Authority, in whole or in part, within twenty (20) days after the date of their receipt by the Authority. The Authority's approval shall not be unreasonably withheld. Any rejection shall set forth in detail the reasons therefor. If the Authority rejects any Construction Plans in whole or in part, the Redeveloper shall submit new or corrected Construction Plans within a reasonable time after written notification to the Redeveloper of the rejection. The provisions of this Section relating to approval, rejection and resubmission of corrected Construction Plans shall continue to apply until the Construction Plans have been approved by the Authority. Approval shall constitute a conclusive determination that the Construction Plans (and the Minimum Improvements, if constructed in accordance with said plans) comply with the provisions of this Agreement relating thereto. The Construction Plans shall not be rejected due to any objection which could have been raised upon review of the Preliminary Plans and corrected more economically at that time. (c) Changes. If the Redeveloper desires to make any material change in the Preliminary Plans or Construction Plans after their approval by the Authority, then the Redeveloper shall submit the proposed change to the Authority for its approval. If the Preliminary Plans or Construction Plans, as modified by the proposed change, conform to the requirements of this Section with respect to such previously approved Plans, the Authority shall approve the proposed change and notify the Redeveloper in writing of its approval. Such change in the Preliminary Plans or Construction Plans shall, in any event, be deemed approved by the Authority unless rej ected in writing by the Authority, in whole or in part, within twenty (20) days after receipt of the notice of such change, setting forth in detail the reasons therefor. Section 4.4. Certificates of Com lep tion. (a) Promptly after completion of the Minimum Improvements on each home lot, the Authority will furnish the Redeveloper with a Certificate of Completion therefor. The Certificate of Completion shall be a conclusive determination and conclusive evidence of the satisfaction and termination of the agreements and covenants in this Agreement and in the Redevelopment Property Deed with respect to the Redeveloper's obligations to construct the Minimum Improvements on such home lot. (b) If the Authority believes the Redeveloper has failed to complete the Minimum Improvements as to any home lot for which a Certificate of Completion is requested by the Redeveloper, the Authority shall, within twenty (20) days after such written request by the Redeveloper, provide the Redeveloper with a written statement, indicating in adequate detail in what 14 respects the Authority believes the Redeveloper has failed to complete the Minimum Improvements in accordance with the provisions of this Agreement, and what measures or acts will be necessary, in the opinion of the Authority, for the Redeveloper to perform in order to obtain a Certificate of Completion. (c) The construction of the Minimum Improvements for each home lot shall be deemed to be completed in accordance with the Redeveloper's obligations hereunder when the City has issued a certificate of occupancy for the Minimum Improvements on that home lot. ARTICLE V Insurance Section 5.1. Redeveloper Insurance. (a) The Redeveloper will provide and maintain at all times during the process of constructing the Minimum Improvements and, from time to time at the request of the Authority, furnish the Authority with proof of payment of premiums on: (i) Builder's risk insurance, written on the so -called `Builder's Risk— Completed Value Basis," in an amount equal to one hundred percent (100 %) of the insurable value of the Minimum Improvements at the date of completion, and with coverage available in nenApeAkWon- reporting form on the so- called "all risk" form of policy. The interest of the Authority shall be protected in accordance with a clause in form and content reasonably satisfactory to the Authority_ The builder's risk policy shall be obtained for each of the 16 single family homes constituting the Minimum Improvements at the time the Redeveloper acquires title to the lot on which the home is to be constructed; (ii) Comprehensive general liability insurance together with an Owner's Contractor's Policy with limits against bodily injury and property damage of not less than $2,000,000 for each occurrence (to accomplish the above - required limits, an umbrella excess liability policy may be used); and (iii) Workers' compensation insurance, with statutory coverage. (b) All insurance required by this Article V shall be taken out and maintained in responsible insurance companies selected by the Redeveloper which are authorized under the laws of the State to assume the risks covered thereby. The Redeveloper will deposit annually with the Authority policies evidencing all such insurance, or a certificate(s) or binder(s) of the respective insurers stating that such insurance is in force and effect. Unless otherwise provided in this Article V, each policy shall contain a provision that the insurer shall not cancel or modify it without giving written notice to the Redeveloper and the Authority at least thirty (30) days before the cancellation or modification becomes effective. Not less than fifteen (15) days prior to the expiration of any policy, the Redeveloper shall furnish the Authority with evidence satisfactory to the Authority that the policy 15 has been renewed or replaced by another policy conforming to the provisions of this Article V, or that there is no necessity therefor under the terms hereof. In lieu of separate policies, the Redeveloper may maintain a single policy, blanket or umbrella policies, or a combination thereof, having the coverage required herein, in which event the Redeveloper shall deposit with the Authority a certificate or certificates of the respective insurers as to the amount of coverage in force upon the Minimum Improvements. Section 5.2. Subcontractor Insurance. The Redeveloper shall, from time to time, provide the Authority with evidence satisfactory to the Authority that the Redeveloper's subcontractors are maintaining workers' compensation insurance as required by all applicable laws. ARTICLE VI Prohibitions Against Assignment and Transfer; Indemnification Section 6.1. Representation as to Redevelo ment. The Redeveloper represents and agrees that its purchase of the Redevelopment Property, and its other undertakings pursuant to this Agreement, are, and will be used, for the purpose of redevelopment of the Redevelopment Property and not for speculation in land holding. The Redeveloper further recognizes that the qualifications and identity of the Redeveloper are of particular concern to the Authority, in view of (a) the importance of the redevelopment of the Redevelopment Property to the general welfare of the Authority; (b) the substantial financing and other public aids that have been made available by the City or the Authority for the purpose of making such redevelopment possible; and (c) the fact that any act or transaction involving or resulting in a significant change in the identity of the party or parties in control of the Redeveloper or the degree of such control is for practical purposes a transfer or disposition of the Redevelopment Property then owned by the Redeveloper. The Redeveloper further recognizes that it is because of such qualifications and identity that the Authority is entering into this Agreement with the Redeveloper, and, in so doing, is willing to accept the obligations of the Redeveloper for the faithful performance of all undertakings and covenants hereby by it to be performed. Section 6.2. Prohibition Against Transfer of Pro e�rty and Assignment of Agreement. Also, for the foregoing reasons the Redeveloper represents and agrees that prior to the earlier of the issuance of the final Certificate of Completion for the Minimum Improvements or the Termination Date: (a) Except for the purpose of obtaining financing necessary to enable the Redeveloper to perform its obligations with respect to constructing the Minimum Improvements and any other purpose authorized by this Agreement, the Redeveloper has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or with respect to this Agreement or the Redevelopment Property or any part thereof or any interest therein, or any contract or agreement to do any of the same, without the prior written approval of the Authority. If the Redeveloper remains 11NO liable and bound by this Redevelopment Agreement, the Authority's approval is not required. Any such transfer shall be subject to the provisions of this Agreement. Notwithstanding the foregoing, the Redeveloper may: (i) Transfer the Redevelopment Property to any corporation, partnership, or limited liability company controlling, controlled by, or under common control with the Redeveloper, or (ii) Enter into purchase agreements for the sale of the homes in the ordinary course of the Redeveloper's business. (b) In the event the Redeveloper, upon transfer or assignment of the Redevelopment Property or any portion thereof, seeks to be released from its obligations under this Agreement, the Authority shall be entitled to require, except as otherwise provided in this Agreement, as conditions to any such release that: (i) Any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the Authority, necessary to fulfill the Redeveloper's obligations hereunder. (ii) Any proposed transferee, by instrument in writing satisfactory to the Authority and in form recordable among the land records, shall, for itself and its successors and assigns, and expressly for the benefit of the Authority, have assumed all of the obligations of the Redeveloper under this Agreement and agreed to be subject to all of the conditions and restrictions to which the Redeveloper is subj ect; provided, however, that the fact that any transferee of, or any other successor in interest to, the Redevelopment Property, or any part thereof, shall not, for whatever reason, have assumed such obligations or so agreed, shall not (unless and only to the extent otherwise specifically provided in this Agreement or agreed to in writing by the Authority) deprive the Authority of any rights or remedies with respect to the Redevelopment Property or any part thereof or the construction of the Minimum Improvements; it being the intent of the parties as expressed in this Agreement that (to the fullest extent permitted at law and in equity and excepting only in the manner and to the extent provided otherwise in this Agreement) no transfer of, or change with respect to, ownership in the Redevelopment Property or any part thereof, or any interest therein, whether voluntary or involuntary, shall operate, legally or practically, to deprive or limit the Authority with respect to any rights, remedies or controls provided in this Agreement as to the Minimum Improvements that the Authority would have had, had there been no such transfer or change. In the absence of specific written agreement by the Authority to the contrary, no such transfer or approval by the Authority thereof shall be deemed to relieve the Redeveloper, or any other party bound by this Agreement or otherwise with respect to the construction of the Minimum Improvements, from any of its obligations with respect thereto. (iii) Any and all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or the Redevelopment Property governed by this Article shall be in a form reasonably satisfactory to the Authority. 17 If the foregoing conditions are satisfied, then the Redeveloper shall be released from its obligations under this Agreement as to the portion of the Redevelopment Property that is transferred, assigned or otherwise conveyed. Section 6.3. Release and Indemnification Covenants. (a) The Redeveloper covenants and agrees that the City, the Authority and the governing body members, officers, agents, servants and employees of either of them (collectively, the "Indemnified Parties ") shall not be liable for, and agrees to indemnify and hold harmless the Indemnified Parties against, any loss or damage to property or any injury to or death of any person occurring at or resulting from any defect in the Minimum Improvements, due to any act, including negligence, of the Redeveloper or of others acting on its behalf or under its direction or control; provided, however, that the Redeveloper's indemnification obligations in this subparagraph (a) shall not apply to any loss resulting from negligent, willful or wanton misconduct of any of the Indemnified Parties. (b) The Redeveloper agrees to protect and defend the Indemnified Parties, now or forever, and further agrees to hold the Indemnified Parties harmless, from any claim, demand, suit, action or other proceeding by any person or entity arising or purportedly arising from this Agreement or the transactions contemplated hereby or the construction and ownership of the Minimum Improvements, due to any act, including negligence, of the Redeveloper or of others acting on the behalf or under the direction or control of the Redeveloper; provided, however, that the Redeveloper's indemnification obligations in this subparagraph (b) shall not apply to any loss resulting from any negligent or willful misrepresentation or any negligent, willful or wanton misconduct of any of the Indemnified Parties. (c) None of the Indemnified Parties shall be liable for any damage or injury to the person or property of the Redeveloper or its officers, agents, servants or employees or any other person who may be on or about the Redevelopment Property or Minimum Improvements due to any act or negligence of any person, other than the negligence or misconduct of an Indemnified Party. (d) None of the Indemnified Parties shall be liable to the Redeveloper or to any third party for any consequential or other damages that may arise out of delays of any kind relating to activities undertaken pursuant to this Agreement, including but not limited to delays due to environmental conditions, court challenges or elements outside the control of the Authority. (e) All covenants, stipulations, promises, agreements and obligations of the Authority contained herein shall be deemed to be the covenants, stipulations, promises, agreements and obligations of the Authority and not of any governing body member, officer, agent, servant or employee of the Authority in the individual capacity thereof. (f) Nothing in this Section is intended to waive any municipal liability limitations contained in Minnesota Statutes, particularly Chapter 466. ARTICLE VII Events of Default Section 7.1. Events of Default Defined. The following shall be "Events of Default' under this Agreement and the term "Event of Default' shall mean any one or more of the following events: (a) Failure by the Redeveloper, while the owner of all or any portion of the Redevelopment Property, to timely pay all real property taxes assessed with respect thereto. (b) Failure by the Redeveloper to complete the Project pursuant to the terms, conditions and limitations of this Agreement. (dc) Failure by the Redeveloper to substantially observe or perform any other material covenant, condition, obligation or agreement on its part to be observed or performed under this Agreement, following notice of default to the Redeveloper as discussed herein and the expiration of thirty (30) days to cure said alleged default. (od) The Redeveloper shall: (i) file any petition in bankruptcy or for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under the United States Bankruptcy Code or under any similar federal or state law; or (ii) make an assignment for the benefit of its creditors; or (iii) admit in writing its inability to pay its debts generally as they become due; or (iv) be adjudicated as bankrupt or insolvent; or if a petition or answer proposing the adjudication of the Redeveloper as bankrupt or its reorganization under any present or future federal bankruptcy act or any similar federal or state law shall be filed in any court and such petition or answer shall not be discharged or denied within ninety (90) days after the filing thereof; or a receiver, trustee or liquidator of the Redeveloper, or of the Project, or part thereof, shall be appointed in any proceeding brought against the Redeveloper, and shall not be discharged within ninety (90) days after such appointment, or if the Redeveloper shall consent to or acquiesce in such appointment. Section 7.2. Remedies on Default. Whenever any Event of Default referred to in Section 7.1 occurs, the Authority may take any one or more of the actions set forth below if the Event of Default is not cured within thirty (30) days after the Authority provides written notice to the Redeveloper of such Event of Default:. Notice of default shall s pecify the nature of the default under this Agreement and the actions necessary to cure the default. 19 not be cured, ended, remedied or assurances reasonably satisfactory to the Authority made within ninety (90) days after written demand from the Authority to the Redeveloper to do so; or (b) The Redeveloper fails to pay real estate taxes or assessments on the Redevelopment Property or any part thereof when due from the Redeveloper or creates, suffers, assumes, or agrees to any encumbrance or lien on the Redevelopment Property which is unauthorized by this Agreement and has priority over the Authority's rights under this Agreement, or shall suffer any levy or attachment to be made, or any materialmen's or mechanics' liens, or any other unauthorized encumbrance or lien to attach to the Redevelopment Property, and such taxes or assessments shall not have been paid, or the encumbrance or lien removed or discharged or provisions reasonably satisfactory to the Authority made for such payment, removal, or discharge within thirty (30) days after written demand by the Authority to do so; provided, that if the Redeveloper shall first notify the Authority of its intention to do so, it may in good faith contest any real estate taxes or any mechanics' or other lien and, in such event, the Authority shall permit such taxes or mechanics' or other lien to remain undischarged and unsatisfied during the period of such contest and any appeal, but only if the Redeveloper provides the Authority with a bank letter of credit or other security in the amount of the taxes or the lien, in a form reasonably satisfactory to the Authority pursuant to which the bank or other obligor will pay to the Authority the amount of such taxes or lien in the event that the taxes or the lien is finally determined to be valid. During the course of such contest the Redeveloper shall keep the Authority informed respecting the status of such defense; or (c) There is, in violation of this Agreement, any transfer of the Redevelopment Property or any part thereof (other than in connection with a sale of a home to a bona fide purchaser), or any change in the ownership of the Redeveloper or the degree thereof, and such violation shall not be cured within ninety (90) days after written demand by the Authority to the Redeveloper; The Authority shall provide written notice to the Lender issuing the Letter of Credit and provide the Lender ninety (90) days to cure the deficiency or default of the Redeveloper and assume all rights and responsibilities of the Redeveloper under this Agreement If the Lender fails to assume and cure M and all deficiencies and defaults by the Redeveloper, then the Authority shall have the right to re- enter and re -take possession of the Redevelopment Property and to terminate (and revest in the Authority) the estate conveyed by any Redevelopment Property Deed to the Redeveloper, it being the parties' intent that the conveyance of the Redevelopment Property to the Redeveloper shall be made upon, and that the Redevelopment Property Deed shall contain, a condition subsequent to the effect that in the event of any default on the part of the Redeveloper and failure on the part of the Redeveloper to remedy such default within the period and in the manner stated in such subdivisions, the Authority at its option may declare a termination in favor of the Authority of the title and all the rights and interest in and to the Redevelopment Property conveyed to the Redeveloper, and that such title and all rights and interests of the Redeveloper, and any assigns or successors in interest to and in the Redevelopment Property, shall revert to the Authority, but only if the events stated in Section 7.1 have not been cured within the time periods provided above. The Authority shall have no right to re -enter or retake title to and possession of any part of the Redevelopment Property for which a Certificate of Completion has been issued or following the Termination Date. 21 Section 7.7. Resale of Reacquired Property Disposition of Proceeds. Upon revesting in the Authority of title to any parcel of the Redevelopment Property or any part thereof as provided above, the Authority shall have no further responsibility to the Redeveloper hereunder with respect to that or any subsequent parcel and may sell or otherwise devote said parcels to such other uses as the Authority in its sole discretion determines. Any sum remaining upon resale after payment of all costs and expenses as allowed by this Agreement shall be paid to the Redeveloper. Section 7.8. Subordination. (a) The Authority recognizes that the Redeveloper intends to finance the construction of the Project (the "Construction Loan"), that in order to do so the construction lender (the "Lender ") may require a first mortgage or other lien ( "Mortgage ") on the portions of the Redevelopment Property which have been conveyed to the Redeveloper which is prior to the Redevelopment Property Deed, and that the Authority will have to subordinate such rights. (b) The Authority will agree that the Lender of the Construction Loan shall have the right to cure or remedy any breach or default of the Redeveloper, provided the Lender has first expressly assumed the obligations to the Authority (by written agreement satisfactory to the Authority) to complete the Minimum Improvements on the Redevelopment Property or the part thereof which is subject to the lien of the Mortgage. Upon request of the Authority, the Lender will agree to notify the Authority of any default of the Redeveloper under the terms of the Construction Loan. The Authority shall have the right, at its option, to cure or remedy any breach or default with respect to the Construction Loan and shall have any redemption rights in the event of foreclosure. (c) Additional conditions for the Authority subordinating its interests in this Agreement and approving a Mortgage include the following: (i) The Construction Loan proceeds will be used solely for the design, development and construction of the Project; (ii) The Construction Loan proceeds will be disbursed by a title company pursuant to a construction loan disbursing or similar agreement among the Redeveloper, the Lender and the title company whereby the title company will coordinate the payment for all work which may give rise to mechanics' liens; (iii) The Authority shall have the right to review the Construction Loan documents to reasonably satisfy itself that sufficient funds are or will be available to complete construction of the Project. (d) Upon the Redeveloper's performing the above conditions, the Authority agrees that any and all rights of the Authority under this Agreement and the Redevelopment Property Deeds shall be subordinate to the rights of the Lender, including without limitation: 22 (i) any and all rights of the Authority to the payment or use of the net proceeds of insurance; and (ii) any and all rights of the Authority to re -enter and retake possession of the Redevelopment Property and to re -vest in the Authority the estate conveyed by any Redevelopment Property Deed, shall be subject and subordinate to the lien of the Mortgage and to the rights, interests and remedies of the Lender and its successors and assigns (including the purchaser at any foreclosure sale or the transferee of any transfer in lieu of foreclosure) under the Mortgage. The Authority further covenants and agrees that a purchaser at a foreclosure sale or the transferee of any transfer in lieu of foreclosure shall take title to the mortgaged property free and clear of all rights of the Authority and its successors and assigns under this Agreement. (e) The Authority further agrees that at the time of closing of the Construction Loan, it will enter into a subordination agreement in accordance with this Section in form and content reasonably acceptable to the Lender. 23 ARTICLE VIII Additional Provisions - - .. _ - - - - - - _ .. - - IMM Mr In - - -- - - D - (111 WN - - - -- - - - - Y. a. -I. . - - - - - -- - - D - Section &2 -.881. Conflict of Interest. No member, official, or employee of the Authority shall have any personal interest, direct or indirect, in the Agreement, nor shall any such member, official or employee participate in any decision relating to the Agreement which affects his personal interests or the interests of any corporation, partnership, or association in which he is, directly or indirectly, interested. Section 8-.X8.2. Restrictions on Use. The Redeveloper shall not in marketing or sale of the Redevelopment Property, the Minimum Improvements, or any portion of the such real property or improvements discriminate upon the basis of race, color, creed, sex or national origin or any other basis prohibited by applicable local, State or federal laws or regulations. Section 8:4.8_3. Provisions Not Merged With Deed. None of the provisions of this Agreement are intended to or shall be merged by reason of any deed transferring any interest in the 24 Redevelopment Property and any such deed shall not be deemed to affect or impair the provisions and covenants of this Agreement. Section 88_4. Notices and Demands. Any notice, demand, or other communication permitted or required to be given hereunder by either party to the other shall be deemed given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, transmitted by facsimile, delivered by a recognized overnight carrier, or delivered personally to the following addresses: (a) If to the Redeveloper: Blueprint Homes, Inc., 1512 - 125th Ave NE, Suite 139, Blaine, MN 55449, Attention: Jeff Magdik. Fax: (763) 862 -9728. With a copy to: Felhaber, Larson, Fenlon & Vogt, 2100 Piper Jaffray Plaza, 444 Cedar Street, St. Paul, MN 55101, Attention: Stephen E. Yoch, Esq. Fax: (651) 222 -8905. (b) If to the Authority: Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, 6431 University Avenue NE, Fridley, MN 55432, Attention: City Manager. Fax: (763) 571 -1287. With a copy to: Krass Monroe, P.A., 8000 Norman Center Drive, Suite 1000, Minneapolis, MN 55437, Attention: Gay L. Cemey, Esq. Fax: (952) 885 -5969. Section 8.8_5. CounteWarts. This Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 8:8_6. Law Governing. This Agreement will be governed and construed in accordance with the laws of the State. Section 8:.-8.7. Termination. This Agreement shall expire on its Termination Date if it has not been terminated before such date pursuant to any provision hereof. Section 8:8_8. Provisions Surviving Termination. No termination of this Agreement shall terminate any indemnification or other rights or remedies under this Agreement due to (i) any Event of Default which occurred and was continuing prior to such termination, or (ii) any cause of action which arose before the termination. IN WITNESS WHEREOF, the Authority has caused this Agreement to be duly executed in its name and behalf and the Redeveloper has caused this Agreement to be duly executed on or as of the date first above written. (Signature pages follow) 25 Dated: , 2005 HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY, MINNESOTA By Its Chairman I' , Its Executive Director STATE OF MINNESOTA ) )ss COUNTY OF ANOKA ) On this day of , 20_ before me, a Notary Public, personally appeared Lawrence E. Commers and William W. Bums, to me personally known who by me duly sworn, did say that they are the Chairman and Executive Director, respectively, of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, a political subdivision of the State of Minnesota, and acknowledged the foregoing instrument on behalf of said authority. Notary Public Authority Signature Page - Contract for Private Redevelopment w Dated: , 2005 BLUEPRINT HOMES, INC. By Its STATE OF MINNESOTA ) )ss COUNTY OF ) On this day of , 20 , before me, a Notary Public, personally appeared , the of Blueprint Homes, Inc., a Minnesota corporation, and acknowledged the foregoing instrument on behalf of said corporation. Notary Public Redeveloper Signature Page - Contract for Private Redevelopment 27 SCHEDULE A DESCRIPTION OF REDEVELOPMENT PROPERTY SCHEDULE B FORM OF REDEVELOPMENT PROPERTY DEED THIS INDENTURE, made this _ day of , 20_, between the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, a public body corporate and politic (the "Grantor "), and Blueprint Homes, Inc., a Minnesota corporation (the "Grantee "). WITNESSETH, that the Grantor, in consideration of the sum of One Dollar ($1.00) and other good and valuable consideration, the receipt of which is hereby acknowledged, does hereby convey and quit claim to the Grantee, its successors and assigns, forever, all the tract or parcel of land lying and being in the County of Anoka and State of Minnesota described as follows: See Exhibit 1 hereto TOGETHER with all hereditaments and appurtenances belonging thereto, subject to all conditions, covenants, restrictions and limitations imposed by: (a) the Contract for Private Redevelopment by and between the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, and Blueprint Homes, Inc., dated , 2005 (the "Contract "); and (b) all other matters of record. The Grantor further states that: The Grantee has committed to construct certain improvements pursuant to Section 4.2 of the Contract and the Grantor has a right of re -entry in accordance with neetieZ - 4.2 and :v resp®etively,Section 7.6 of the Contract. Title is conveyed hereby subject to the following conditions subsequent: In the event that the Grantee defaults on its obligations in the Contract and fails to properly cure said default, the Grantor may declare a termination of all right, title and interest conveyed herein and all right, title and interest in the premises described in Exhibit 1 reverts to the Grantor. Upon the performance of the Grantee's obligations in the Contract, including completion of the improvements, with respect to all or a portion of the premises described in Exhibit 1 the release of the right of re -entry and reverter as to all or a portion of that premises shall be evidenced by the recording of a Certificate of Completion and Release of Forfeiture in the form attached as Exhibit 2 to this deed. PQ IN WITNESS WHEREOF, the Grantor has caused this Deed to be duly executed in its behalf by its and the first date above written. HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY, MINNESOTA By Its Chairman By Its Executive Director STATE OF MINNESOTA ) )ss COUNTY OF ANOKA ) On this day of , 20_ before me, a Notary Public, personally appeared and to me personally known who by me duly sworn, did say that they are the and respectively, of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, and acknowledged the foregoing instrument on behalf of said Authority. This instrument was drafted by: KRASS MONROE, P.A. (GLC) 8000 Norman Center Drive, Suite 1000 Minneapolis, MN 55437 (952) 885 -5999 30 Notary Public Tax statements for the real property described in this instrument should be sent to: Blueprint Homes, Inc. 1512 - 125th Ave NE, Suite 139 Blaine, MN 55449 SCHEDULE C FORM OF CERTIFICATE OF COMPLETION AND RELEASE OF FORFEITURE WHEREAS, the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, a political subdivision of the State of Minnesota (the "Authority") by a deed recorded in the Office of the County Recorder or the Registrar of Titles in and for the County of Anoka, State of Minnesota, as Deed Document Number has conveyed to Blueprint Homes, Inc., a Minnesota corporation (the "Redeveloper") certain real property described on Exhibit 1 attached to this Certificate; and WHEREAS, the Deed contained certain covenants and conditions, the breach of which by the Redeveloper, its successors and assigns, would result in a forfeiture and right of re -entry by the Authority, its successors and assigns, said covenants and restrictions being set forth in the Deed; and WHEREAS, the Redeveloper has performed said covenants and conditions with respect to the land described on Exhibit 1 insofar as it is able and in a manner deemed sufficient by the Authority to permit the execution and recording of this Certification; NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified to be done and made by the Redeveloper have been completed and the above covenants and conditions in the Deed have been performed by the Redeveloper therein and that the provisions for forfeiture of title and right to re -entry for breach of condition subsequent by the Authority therein are hereby released absolutely and forever insofar as they apply to the land described herein, and the County of Anoka, State of Minnesota is hereby authorized to accept for recording and to record this instrument, and the filing of this instrument shall be a conclusive determination of the satisfactory termination of the covenants and conditions of the contract referred to in the Deed, the breach of which would result in a forfeiture and right of re- entry. Dated: , 200 HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY, MINNESOTA 05 Its Chairman By Its Executive Director 31 STATE OF MINNESOTA ) )ss COUNTY OF ANOKA ) On this day of , 20 before me, a Notary Public, personally appeared and to me personally known who by me duly sworn, did say that they are the Chairman and Executive Director, respectively, of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, a political subdivision of the State of Minnesota, and acknowledged the foregoing instrument on behalf of said Authority. This instrument was drafted by: KRASS MONROE, P.A. (GLC) 8000 Norman Center Drive, Suite 1000 Minneapolis, MN 55437 (952) 885 -5999 32 Notary Public SCHEDULE D PUBLIC IMPROVEMENTS The Authority shall construct the following Public Improvements: • Building demolition and removal of demolition debris, basements and driveways • Site clearance, including removal of all foundations and buildings and leaving the sites in a condition with clean fill to level ground • Sanitary sewer to the edge of each of the North and South Sites — the Authority shall ensure there is sufficient sanitary sewer capacity to service the intended redevelopment • Water mains and laterals to the edge of each of the North and South Sites — the Authority shall ensure there is sufficient water capacity to service the intended redevelopment • Construct new sewer and water services to the front property line for all lots • Construct a 6" water main in 3rd Street from 58th Avenue to 57th Place • Construct an 8" sanitary sewer main in 3rd Street to serve the unsewered lots • Remove and replace concrete curb and gutter as necessary for utilities, utility services, and driveways, and also as required to close vacated streets • Remove existing bituminous pavement on 3rd Street, 57th Place, 58th Avenue, and 59th Avenue • Construct new bituminous pavement on 3rd Street and on 57th Place as needed • Environmental remediation which shall place the Redevelopment Property in a condition required by law for residential use. Such remediation shall occur if recommended by a licensed environmental engineer • Vacation of the public rights of way indicated on Schedule A • Ornamental fencing along University Avenue (timing to be coordinated with Redeveloper's construction of the Minimum Improvements) 33 SCHEDULE E SITE IMPROVEMENTS • Public utility r-eleeation a onnection within the Redevelopment Property • Landscaping according to a City- approved overall landscaping plan to include screening along University Avenue with a minimum per -unit expenditure of $5,000 • Grading and import/export of soil • Retaining walls and fences, if needed 34 deleted 35 AGENDA ACTION ITEM HRA MEETING OF FEBRUARY 29 2006 Date: January 26, 2006 To: William Burns, Executive Director From: Paul Bolin, Asst. Executive HRA Director Rick Pribyl, Finance Director Mike Jeziorski, HRA Accountant Subject: Termination of Contract with Lofthouse Bakery Products Attached you will find a letter of termination in regard to the Redevelopment Contract and Note that was originally dated January 9, 1992. On March 23, 2004, the contract and note was assigned to Lofthouse Bakery Products, Inc., as part of the sale of the McGlynn Bakery. The contract contains a requirement for the developer (that now being Lofthouse Bakery Products) to submit required employment reports to the HRA on a semiannual basis. The contract provids that should the developer not submit the reports for two successive years, it would entitle the BRA to terminate the contract. Staff is recommending that the HRA make a motion to terminate the contract with the Lofthouse Bakery Products, Inc. RDP /me Attachment January 27, 2006 Carla E. Laszewski, Staff Attorney Lofthouse Bakery Products, Inc. c/o Ralcorp Holdings, Inc. 800 Market St, Suite 2900 St. Louis, MO 63101 Re: HRA - McGlynn Redevelopment Contract and Note Dear Ms. Laszewski: On March 23, 2004, the Housing and Redevelopment Authority in and for the City of Fridley, MN (the "HRA") consented to the assignment by McGlynn Bakeries, LLC (as successor to McGlynn Bakeries, Inc.) of the Contract for Private Redevelopment with the HRA dated as of January 9, 1992 and the transfer of the Redevelopment Property (as defined in the Contract) to Sparky Acquisition Corporation. The assignee's name has since changed to Lofthouse Bakery Products, Inc. Section 2.20) of the Contract required McGlynn, and now Lofthouse as its assignee, to submit to the HRA on or before August 1, of each year, verification of employment of 200 full time employees at the Redevelopment Project (as defined in the Contract), which verification is to be prepared by a certified public accountant. This requirement remains in effect until the earliest of February 1, 2009, full payment of the Note (as defined in the Contract) or termination of the Contract. Lofthouse failed to submit the required employment verification reports to the HRA which were due on August 1, 2004 and August 1, 2005. Failure to file the reports for two successive years entities the HRA to terminate the Contract pursuant to Section 8.4 thereof. This shall serve as notice that the HRA has elected to terminate the Contract pursuant to that Section and considers its obligation to make payments on the Note terminated. Sincerely, Lawrence R. Commers HRA Chairperson rd-W-1 INFORMATIONAL ITEM HRA MEETING OF FEBRUARY 2,2006 MY OF FRIDLEY Date: January 26, 2006 To: William Burns, Executive Director From: Paul Bolin, Asst. Executive HRA Director Subject: Islands of Peace Housing Market Update M-06-22 There has been little time to discuss the Islands of Peace since the meeting with the Developer in mid-November. At that time it became evident that Bancor's vision for the site was not matching that of the Council and HRA. The developer's ideas included rehabbing the existing apartment buildings along Island Park Drive and constructing additional units between the existing buildings. This concept would provide 140 units of workforce housing and would cost substantially less than removing all buildings and starting from scratch. Bancor was also proposing 160- 200 units of market rate condominiums in 3-4 story buildings and looking to possibly expand the project across East River Road. Based on comments made by the Council and HRA members during a November meeting, it was quite obvious that all new construction was preferred to rehabbing of rental units. It also appeared that the consensus of the group was to construct high- end, high-valued, multi-story condominiums. There did not appear to be any real interest in purchasing the Tri-star Insulation and Longview Fiber properties to expand the project to the East. Because of the different visions, it was decided that a housing market study done by an independent third party would be useful. Sam Newberg of Dahlgren, Shardlow, & Uban was selected to provide an independent analysis on the marketability of the Islands of Peace site for different types of housing. Sam's research indicates that the Islands of Peace would not be a desirable location for constructing upper-end, multi-story condominiums. His research indicates that a mix of townhomes and condominiums priced between $175,000 to $250,000 Would be the most marketable on the site. A draft of the market study has been provided for your review. Sam Newberg will give a brief presentation, take comments, and then field questions during next Thursday's meeting. We hope to hold a joint HRA/Council meeting during mid-late February to review the final report and discuss the next steps for the Islands of Peace. DATE: TO: FROM: A-4- January 24, 2006 UTFJW•-� Memorandum Members of the Housing and Redevelopment Authority William W. Burns, Executive Director Fridley HRA op, SUBJECT: Prevailing Wage Requirements As you know, there has been recent discussion regarding prevailing wage requirements and their relationship to the Gateway West Development. Paul Bolin has researched the matter and provided the relevant minutes and ordinance relating to the prevailing wage matter at hand. The result of the research shows that prevailing wage requirement does not relate to owner occupied developments. That distinction was made by the City Council in 1995 and was directly related to the Rottlund project in the South West Quadrant of University Avenue and Mississippi Street. At their pre-Council meeting Monday evening, staff discussed these findings with the City Council. Steve Billings may have put it best, while addressing a question from Bob Barnette.... "If you want to change the ordinance, then talk to your peers on the Council and see if there are enough votes. As for Blueprint Homes, it is too late; that project is already underway." I know that some of you have expressed concern and you do not want to contradict Council's intent or wishes in this regard. For that you should be commended. You should also know; however, that Council does not expect you to require that prevailing wage be paid for the project by Blueprint Homes. I hope this answers any questions that you have had. Please feel free to contact me if you wish to discuss this matter further. M-06-23 LUZ FRIDLEY HOUSING & REDEVELOPMENT AUTHORITY February 2, 2006 1. Gateway West Pioneer Engineering is continuing to examine the title -work that has been done, clean -up the legal descriptions, and make a determination on the possible MnDOT "turn -back" parcel along University Avenue before they take the final Plat up to the County. It is still anticipated that they will complete all of this work by the middle of February and it is likely the plat won't finish the County review and be back before the Council until the end of March/beginning of April. Pioneer's review will ensure a quick approval at the County and help to avoid any Plat recording issues down the road. 2. Home & Garden Show This year's show is shaping up to be the best ever. All 84 of our exhibitor booth spaces have been reserved. This year will feature some very good workshops including Gardening with Perennials, Garage Safety & Organization, and Ways to Lower Home Energy Costs. This year's show will be held at the Schwan's Event Center in Blaine on Saturday February 25`h, from 9AM until 2PM. The workshops will be held at 10:30 and 12:30. 3. Gateway North - East?? Last month, I reported on a call I received from Harvey Goldstein, owner of the now-vacant Carquest building located at 6005 University Avenue. He had called and asked if the City /HRA might be interested in purchasing his building. He noted that it seemed we had a desire to improve the image along University Avenue based on our Gateway East& West projects. He still hasn't put a value on his property yet, but I expect that he will get back to me once he has placed a value on his property. The area from the Sinclair Station south to the Carquest building would provide an opportunity to further improve the City's image along this corridor. 'Phis area may provide a redevelopment opportunity without much opposition. At this time, the Carquest building is for sale (2006 taxable value - $228,900) and the old Van- O-Lite building at 6041 University is for sale at a rumored $525,000 (2006 taxable value - $248,800). Additionally, the Sinclair Station at 6071 University has quit selling gas, recently changed hands, and has been improperly used for heavy vehicle repair (2006 taxable value - $208,800) and the Tae - Kwan -Do gym at 6061 University never seems to have many users (2006 taxable value - $169,500) which may make them willing sellers. With a total market value of $856,000 for all four properties, the HRA may want to consider acquiring some or all of the properties for a future project that would greatly enhance Fridley's image along this well traveled corridor. If it is determined that now is not the right time to move forward with a project in the Islands of Peace neighborhood, perhaps the City's redevelopment efforts could be refocused on this site. If time is available I would like to have an informal discussion of this idea after Thursday's meeting. 4. Eminent Domain - Met Council Grant Funds Scott Hickok sent the following information to me in an e -mail, which I have cut &pasted into this report: Paul: As we had discussed the HRA will likely to be extremely interested in the recent actions by the metropolitan Council regarding eminent domain. In spite if AMM's plea that the Met Council hold on and further evaluate the potential impacts to redevelopment, the Met Council went ahead and approved their policy. What this means is: any city who uses eminent domain to acquire property; cannot qualify /use livable communities for that project, if the property does not pass the blight tests as defined by statute. Bonnie Balach of Minnesota Solutions has described the Council's actions very succinctly in the following summary: The Metropolitan Council will meet this afternoon (Wednesday, January 25) to discuss a number of issues of importance to us including Livable Communities Demonstration Account grant recommendations, TBRA recommendations and Livable Communities Demonstration Account policy direction. In addition, the Council will consider the eminent domain policy that passed out of the Community Development Committee recently. Louis Jambois, AMM, will testify and urge the Council to refrain from passing the policy. In the event that is not plausible, he will urge the Council to reinstate language that that would allow the Council to award an LCA grant for a project that involves remediation of contaminated land. That exception had been amended out of the policy in the Community Development Committee. I'll attend this hearing and report back. Earlier this month.... The Metropolitan Council Community Development Committee did endorse an anti - eminent domain policy The policy is limited to the disposition of Livable Communities Act funding. The policy precludes LCA program funding for projects that require condemnation. A broad exclusion, however, was provided for projects meeting a blight test. "Blight," in this case, is anything meeting any of the definitions in Minnesota Statutes Chapter 469. The bill was amended in committee to remove any exclusion for projects that involve contaminated land. So, the way it stands, you could use eminent domain for a project meeting the blight definition and still get an LCA grant, but you could not use eminent domain for a project involving contaminated land and get an LCA grant. This is very curious -- even the most serious opponents to the use of eminent domain understand the importance in acquiring polluted land -- and may have been a misunderstanding. We'll try to get it fixed when it goes to the full Council, which is sometime next week. The policy does not provide an exclusion for affordable housing -- at least not directly. Louis Jambois, AMM, did an excellent job is speaking against the policy. He also attempted to make the Committee members aware of the impacts of the Auto Dealer's bill on the Council and it's acquisition activities. They were, however, determined to ignore problems with their proposal for the most part. As you can imagine, this further complicates redevelopment projects and will likely only be made worse by what the legislature does to further stifle eminent domain efforts. We will keep the Council and HRA posted. Scott TM 5. 6000 East River Road The Closing for the Chester Hayes property is scheduled to take place on February 15'. Staff is working to get the blight analysis and hazardous materials reports completed so that we can demolish the home as quickly as possible. If there are any items you would like covered in upcoming issues of the Non - Agenda Update please send me an e -mail. bolinp@ci.fridleymn.us Iv