HomeMy Public PortalAbout1994-064Member John Ferris introduced the following resolution and moved its adoption.
CITY OF MEDINA
RESOLUTION NO. 94 - 6 4
RESOLUTION REGARDING CONTRACT FOR PRIVATE
DEVELOPMENT BY AND BETWEEN THE CITY OF MEDINA,
MINNESOTA AND HIGHWAY 18 & 55 PROPERTIES
WHEREAS, Highway 18 & 55 Properties, a Limited Partnership (the 'Developer"), is the
fee owner of land legally described on Exhibit A attached hereto (the "Property"); and
WHEREAS, the City of Medina (the "City") entered into a contract for private
development with the Developer dated August 1, 1991 (the "Contract") regarding development
of an industrial facility on the Property; and
WHEREAS, under said Contract, the City agreed to reimburse the Developer for certain
expenses incurred by the Developer in preparing the Property for development out of available
tax increment ("Available Tax Increment"); and
WHEREAS, for the majority of the time since the City and the Developer entered into
the Contract, the Developer has not paid Property taxes and, therefore, there has been no
Available Tax Increment with which to reimburse the Developer; and
WHEREAS, the Developer is considering the sale of the Property to Rockier Companies,
Inc.; and
WHEREAS, in connection with said sale, real estate taxes for the years 1991 through
1994 inclusive, plus interest and penalties thereon, will be paid by the Developer; and
WHEREAS, in anticipation of said sale, the Developer has requested that the City express
its intent regarding the use of Available Tax Increment from the period 1991 through 1994, if
it materializes.
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NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Median,
Minnesota, that the City expresses its intent in regard to this matter as follows:
1. If the Developer pays all real estate taxes due and owing on the Property,
including interest and penalties thereon, the City will grant the Developer such
financial assistance under the Contract, without interest, as would have been the
case had real estate taxes been paid on a timely basis. The City shall have no
obligation for such payments until after receipt by the City of the delinquent real
estate taxes and the City determines the amount, if any, of Available Tax
Increment.
2. The City agrees to allow the assignment of the Contract to Rockler Industries, Inc.
and, upon payment of real estate taxes by Rockler, agrees to offer to it such
assistance as would have been available to the Developer under the Contract.
3. The City's obligation to reimburse any party is on a pay-as-you-go basis out of
Available Tax Increment, as that term is defined in the Contract, and such
obligation ends in 1996.
Dated: September 20, 1994.
ATTEST:
son,
o�:ltrk- 'reasurer
nnne B 'Theis, Mayor
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The motion for the adoption of the foregoing resolution was duly seconded by member
Philip Zietlow and upon vote being taken thereon, the following voted in favor thereof:
Ferris, Zietlow and Mayor Anne Theis
and the following voted against same: none
and the following were absent: James Johnson and Ann Thies
Whereupon said resolution was declared duly passed and adopted.
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