092500 EDAOfficial File
CITY OF NEW HOPE
EDA MEETING
City Hall, 4401 Xylon Avenue North
September 25, 2000
Copy
President W. Peter Enck
Commissioner Sharon Cassen
Commissioner Don Collier
Commissioner Pat LaVine Norby
Commissioner Mark Thompson
1. Call to Order
2. Roll Call
3. Approval of Regular Meeting Minutes of August 28, 2000
4. Resolution Approving Extension to Land Disposition Agreement Relating to
Development of 5501 Boone Avenue North (Improvement Project No. 493)
5. Adjournment
CITY OF NEW HOPE
4401 XYLON AVENUE NORTH
NEW HOPE, MINNESOTA 55428
Approved EDA Minutes
Regular Meeting
August 28, 2000
City Hall
CALL TO ORDER
ROLL CALL
APPROVE MINUTES
FUNDING
ASSISTANCE
Item 4
President Enck called the meeting of the Economic Development Authority to order
at 8:08 p.m.
Present:
W. Peter Enck, President
Sharon Cassen, Commissioner
Don Collier, Commissioner
Pat LaVine Norby, Commissioner
Mark Thompson, Commissioner
Motion was made by Commissioner Norby, seconded by Commissioner Thompson,
to approve the Regular Meeting Minutes of August 14, 2000. All present voted
in favor. Motion carried.
President Enck introduced for discussion Item 4, Discussion Regarding
Correspondence/Funding Assistance Request Received From L'Esperance Owners
Association, 7924-8020 51st Avenue North.
Mr. Kirk McDonald, Director of Community Development, explained that the
L'Esperance Owners Association contacted the City to request funding assistance to
make needed improvements to their properties at 7924-8020 51st Avenue North.
There are two buildings containing a total of twelve units. The buildings were
constructed in 1962 and are noted in the Comprehensive Plan for declining building
and site conditions. Over the past year representatives of the Association have been
discussing with staff the methods of financing the improvements. The Association is
seeking to undertake the same type of Housing Improvement Area as was done by
Sandpiper Cove Townhomes. The improvements would include new roofs, gutters
and downspouts, windows, doors, drain tile, and parking lot improvements for an
approximate cost of $125,000.
Mr. McDonald stated if the EDA is receptive to the project, staff recommends that
the City inspectors review the properties to determine if other improvements should
be included in the project. The Association has indicated that they would be willing
to incorporate additional improvements if necessary.
He noted there are a variety of funding programs available for the rehabilitation of
single family homes and apartments, but funding mechanisms are scarce for the
rehabilitation of owner-occupied multiple family units, such as townhomes and
condominiums. Creation of a "housing improvement area" may be the most suitable
program for this project.
Ms. Rita Kolodjski, President of L'Esperance Owners Association, was recognized.
She stated the association has been discussing the improvements for over a year and
there is unanimous agreement.
President Enck initiated discussion regarding inclusion of the property to the east.
New Hope EDA
Page 1
August 28, 2000
ADJOURNMENT
It was noted that the property recently changed ownership and the owner may be
interested in a cooperative project.
Mr. Steve Sondrall, City Attorney, pointed out that if the property to the east is a
rental property it may not qualify for this funding mechanism. He indicated he
would research the issue.
Commissioner Collier encouraged staff to contact the property owner to the east and
perhaps offer a different funding option.
Commissioner Thompson asked if the lighting would be improved. Mr. McDonald
responded that improved parking lot lighting is included in the plan.
Commissioner Cassen suggested the Association consider a reconfiguration of the
parking lot.
The EDA expressed support and directed staff to proceed with the project for the
L'Esperance Owners Association.
Motion was made by Commissioner Norby, seconded by Commissioner Cassen, to
adjourn the meeting. All present voted in favor. Motion carried. The New Hope
EDA adjourned at 8:20 p.m.
Respectfully submitted,
Valerie Leone
City Clerk
New Hope EDA
Page 2
August 28, 2000.
EDA
REQUEST FOR ACTION
Originating Department Approved for Agenda Agenda Section
Community Development 9/25/00 EDA
Kirk McDonald //) Item No.
By: and Phil Kern By:// 4
RESOLUTION APPROVING EXTENSION TO LAND DISPOSITION AGREEMENT RELATING TO
DEVELOPMENT OF 5501 BOONE AVENUE NORTH (IMPROVEMENT PROJECT NO. 493).
REQUESTED ACTION
. Staff recommends that the EDA approve a resolution that extends the Land Disposition Agreement with~
Hennepin County relating to the development of 5501 Boone Avenue North. The Agreement would allow
the EDA a three-year extension until October 2003 to convey the property to Senior Outreach Services
Inc. (CareBreak) for the construction of an adult daycare facility.
POLICY/PAST PRACTICE
In 1993, the EDA used $100,000 in Community Development Block Grant (CDBG) funding to acquire the
property located at 5501 Boone Avenue North and a portion of the property at 5425 Boone Avenue for
purposes of cooperating with CareBreak for the construction of an adult daycare facility on the site. As a
condition of using CDBG funds, the EDA entered into a Land Disposition Agreement with Hennepin
County limiting the development of the site to an adult daycare facility. All amendments to land disposition
agreements are directed to the EDA for approval.
BACKGROUND
The EDA acquired 5501 Boone Avenue and a portion of the property at 5425 Boone Avenue in 1993. The
EDA used $100,000 in CDBG funding for the acquisition with the intent that the property would be
conveyed to CareBreak for an adult daycare facility. Hennepin County approved the use of funds for this
purpose, but required the EDA to enter into a Land Disposition Agreement. The Agreement states that the
property must be conveyed for the development of an adult daycare facility by September 2000. If the
(Cont'd.)
BY ' BY
h RFA\Plannin~\Q-I P493.doc
Request for Action Page 2 9-25-00
conditions of this Agreement are not met by the stated deadline, the EDA will be required to repay the
$100,000 of CDBG funding used for the acquisition or may request an extension of the agreement.
In August 1998, the EDA approved a resolution declaring preliminary intent to convey the property to
CareBreak for an adult daycare facility. The EDA and Senior Outreach Services, Inc. proceeded with the
conveyance of the property until the process was interrupted in February 1999. At that time, Minnesota
Masonic Homes, Inc. purchased the North Ridge Care Center. CareBreak, which was affiliated with the
North Ridge Care Center, was affected by the acquisition and the process of conveying the property was
halted in 1999.
In December 1999, Minnesota Masonic Homes, Inc. reached an affiliation agreement with CareBreak.
As stated in the attached correspondence from Minnesota Masonic Homes, the organization still intends
to pursue the development of a CareBreak Adult Day Services facility at 5501 Boone Avenue. At this
time, Minnesota Masonic Homes is preparing its strategic plan and thus examining the function of the
adult daycare services. The organization has requested an extension until the strategic plan review is
completed and it can focus its resources on the development of the CareBreak facility.
In August, City staff provided a written request to Hennepin County for a three-year extension to the
Land Disposition Agreement to allow Minnesota Masonic Homes and CareBreak to further prepare for
development of the site. Hennepin County staff has stated support for the request and will recommend
that the County Board approve the extension (see attached correspondence). With approval of this
resolution by the EDA, staff expects that the County will extend the agreement to October 2003.
ATTACHMENTS
· Resolution
· Amendment No. 1 to Agreement, Contract No. A20867
· 9/19/00 City Attorney Correspondence
· 9/8/00 Hennepin County Correspondence
· 8/31 City Correspondence
· 8/28/00 Minnesota Masonic Homes Correspondence
· Original Land Disposition Agreement
· Site Map
EDA RESOLUTION NO. 2000-
RESOLUTION APPROVING
EXTENSION TO LAND DISPOSITION
AGREEMENT RELATING TO
DEVELOPMENT OF
5501 BOONE AVENUE NORTH
BE IT RESOLVED by the Board of Commissioners of the Economic Development
Authority in and for the City of New Hope as follows:
WHEREAS, the Economic Development Authority in and for the City of New Hope
(hereafter EDA) and the County of Hennepin (hereafter County) have entered into a Land
Disposition Agreement (hereafter Contract) relating to the development of 5501 Boone Avenue
North as an adult day care facility, and
WHEREAS, specifically, the County has provided the EDA with a $100,000.00 grant
provided through the Urban Hennepin County Community Development Block Grant Program,
and
WHEREAS, the Contract requires the EDA to refund the $100,000.00 grant if the
property at 5501 Boone Avenue North is not developed with an adult day care facility by
October, 2000 unless said deadline is extended, and
WHEREAS, the Contract provides that the use deadline may be extended for an
additional three (3) years provided it appears reasonably feasible the adult day care development
will occur during the extension period, and
WHEREAS, Minnesota Masonic Homes remains interested in the property at 5501
Boone Avenue North for an adult day care facility and has requested that the EDA seek an
extension to the Contract evidenced by Exhibit A attached, and
WHEREAS, the County, based on Minnesota Masonic Homes expressed interest to
develop 5501 Boone Avenue North as an adult day care facility, is willing to provided a
three-year extension to the Contract evidenced by its September 8, 2000 letter attached as
Exhibit B, and
WHEREAS, the County has prepared an addendum to the Contract, attached as
Exhibit C titled Amendment No. 1 To Agreement, Contract No. A20867, which provides for an
extension of the Contract to October 1, 2003.
NOW THEREFORE BE IT RESOLVED by the Economic Development Authority of
the City New Hope as follows:
That Amendment No. 1 To Agreement, Contract No. A20867 attached as
Exhibit C, is hereby approved.
That the President and Executive Director are hereby authorized and directed to
sign Amendment No. 1 To Agreement, Contract No. A20867.
Dated the 25th day of September, 2000.
W. Peter Enck, President
Attest:
Daniel J. Donahue, Executive Director
p:LMtomey~S ASXI)ocuments'~eso Approving Extension.wpd
~U0-29-00 TUE 09:2?
MINNESOTA
MASONIC
HOM S
501 Ma~niz Hame Drive
BIoamiagton, MN 55437-3699
Phone: (952) 948-7000
F~: (952) 948-62 l0
tdinr~esola Masonic Home,
~loontingto/~
t. North Ridge Care Center,
Ne~. llope
t, North Ridge Apartments
Personal Care Suites,
New tlope
Assisted Lt'ving al
Hcriu~£c Hail,
Bloominf, ton
~ Ma.~ot:ic Square,
Bloomington
~: CareBreak Adult Day
gervlce.r & Tran.~por~utlon,
New Hope
Services,
Bloomington
~" Mbtne.tota 34axonic Home
HN NASONIC HONES
FAX NO. 6129486210
P. 02
August 28, 2000
Daniel J. Donahue
Executive Director
City of New Itope
440l Xylon Avenue North
New Hope, MN 55428
RE: Lot 2, Block 1, Science Industry Center 3'~ Addition
5501 Boone Avenue North
Dear Dan:
Greetings from Minnesota Masonic Homes !
As you are aware, Minnesota Masonic Homes acquired North Ridge Care
Center in March o£ 1999 and subsequently the intent to convey property
associated with the land adjacent. In December of 1999 an affiliation
agreement was established between Minnesota Masonic Homes and Senior
Outreach Services DBA CareBreak Adult Day Services.
As an organization we are looking closely at our strategic plan for all facets
of our operations which includes determining the appropriate location of
CareBreak and its respective services. We would like to request an extension
on the intent to convey property on the ]and adjacent to MMH North Ridge
until which time the strategic plan review has been compIeted.
We have enjoyed lbo working relationship we have had with the City of New
Hope to date, and thank you in advance for considcrSng our request. Should
you require additional information from our organization, please contact me
at 952.948.6214 or my assistant Deb Cutsinger at 952.948.6206.
Sincerely,
Deborah L Rose
Vice President of Open~tions
~xOf.l: gl[Y OF NEW HOPE FRX NO.: ?63 5~1 5156 09-1~-00 08:~S P.~2 .
September 8, 2000
Daniel ]. Donahue
City Manager
City of New Hope
4401 Xylon Ave. No.
New Hope, MN 55428-4898
Subject: Land Disposition A~eement
Dear Dan:
This is to acknowledge receipt of your request for an extension to the Land. Disposition
Agreement (Contract No. A20867) between the New Hope Economic Development Authority
and Hennepin County regarding utilization of Community Development Block Grant (CDBG)
fimds for land acquisition to facilitate the development of an adult day care facility.
Our office recognizes the city's efforts over the last three years to secure private development of
the facility. Based on supporting information you provided it is clear this project is still viable
and that an extension to the time period for the agreement will alloxv the city and Minnesota
Masonic Homes, as~ adult day care provider, sufficient time to complete pre-development tasks.
Your request will be forwarded to the County Board with a recommendation to extend the
agreement for up to 3 ~dditional years. To facilitate this, please have the EDA execute
Amendment No. 1 to the Agreement. Please sign and return both original copies. A fully
executed copy of the agreement will be returned to you following Board approval and execution.
Sincerely,
Mark Hendrickson, Principal Planner
Encl.
C: Kirk McDonald
Office O{ Planning & Devetopm*nt
Development Planning Unit
10709 Wayzata B~ulevard, Suite 260
Mmnetor~ka, Minnesota 55305
(612) 541~7080 FAX:(612) 541-7090 TDD/I'I'Y:(612) 54D7981
RecS. ¢~5 ?c;~
FROr. I:,. CITY OF NEW HOPE FA× NO.: ?63 531 5136 09-13-00 08:~4R P.03
Ai~IEN-DMENT NO. 1 TO AGREEMENT, CONTRACT NO. A20867
THIS AGREEMENT made and entered into by and between the COUNTY OF
HENNEPIN, STATE OF MINNESOTA, hereinafter referred to as the "County," through its
Office of Plamfing and Development. hereinafter referred to as "OPD," and the Economic
Development Authority in and for the City of New Hope, a Minnesota Municipal Corporation,
hereinafter referred to as the "EDA", each of which parties is a governmental unit for the State
of Mim]esota pursuant to Mirmesota Statutes, Section 471.59:
WITNESSETH:
WHEREAS, the EDA and the County have previously entered into Agreement,
Contract No. A20867, and
WHEREAS, under the provisions of Paragraph II, the EDA wishes to exercise its
option to extend the period during which it Inay hold the land, which it purchased with
Community Development Block Grant funds provided through a third party a~eement with the
city of New Hope, for an additional three (3) year period, and
WHEREAS, the EDA has demonstrated that the purpose for which the land was
purchased, namely the development of an adult da>' care facility and/or senior center public
facility, is still viable and feasible:
NOW, THEREFORE, in consideration of the mutual terms herein set forth, tile parties
agree as follows:
Articles II and V of the Agreement shall be amei~ded to read as follows:
II.
The EDA covenants and agrees that the purpose of such
purchase and acquisition of said property is for an adult day care
facility and/or senior center public facility and that such development
shall occur not later than three (3) years from and after tile date of
this Agreement as specified in Paragraph V.
This Agreement is effective as of October 1, 2000 and shall
continue in full force and effect until an adult day care facility and/or
senior center public facility is completed on the site or until the land
is sold or approved for an alternate use in accordance with Paragraph
III above, whichever of said events occur first.
CITY OF NEW HOPE FR× NO.: 765 551 5156 09-15-00
The EDA having signed this Amendment, and file Hennepin Count~' Board of
Conunissioners having duly approved this Amendment on this of ,2000,
and pursuant to such approval and the proper County officials having signed this Amendment,
the parties agree to be bound by the provisions herein set forth.
APPROVED AS TO FORM
AND EXECUTION
COUNi;i/OF HENNEPIN.
STATE OF MINNESOTA
Assistant County Attorney
By:
Chair of its County Board
Date
And:
~ssistant/Deputy/County Administrator
Attest:
Deputy/Clerk of the County Board
Date;
ECONOMIC DEVELOPMENT
AUTHORITY in and for the CITY
OF NEW HOPE
By:
Chair/President
By:
Attest:
City Clerk
GORDON L. JENSEN*
STEVEN A. SONDRALL
MARTIN P. MALECHA
WILLIAM C. STRAIT?
C. ALDEN PEARSON,'
JULIE A. THILL
OF COUNSEL
LORENS Q. BRYNESTAD
*Real Property Law Specialist
Certified By The
Minnesota State Bar
.S~sociation
?Qualified ADR Neutral
JENSEN & SONDRALL, P.A.
Attorneys At Law
8525 EDINBROOK CROSSING, STE. 201
BROOKLYN PARK, MINNESOTA 55443-1968
TELEPHONE (763) 424-8811 · TELEFAX (763) 493-5193
e-mail law~j ensen-sondrall.com
September 19, 2000
Kirk McDonald
Community Development Director
City of New Hope
4401 Xylon Avenue North
New Hope, MN 55428
SENT BY FAX
TO: 612-531-5136
AND BY REGULAR MAIL
Re.'
Extension of Land Disposition Agreement for 5501 Boone Avenue North
Our File No.: 99.11198
Dear Kirk:
Please find enclosed a proposed EDA Resolution Approving Extension to Land Disposition
Agreement Relating to Development of 5501 Boone Avenue North for consideration at the
September 25, 2000 EDA meeting.
As you know, Hennepin County has provided the EDA with a $100,000.00 community
development block grant relating to this property. The purpose of the grant is to assist in
acquiring the property for its development with an adult day care facility. The EDA now
owns this property and has used the $100,000.00 block grant as part of its acquisition
proceeds.
The Land Disposition Agreement also requires us to refund the County its grant money if
the property is not used for an adult daycare facility. The purpose of Amendment No. 1 to
Agreement, Contract No. A20867 is to extend until October, 2003 our deadline for
development. In other words, we have until October, 2003 to meet the requirements of the
Land Disposition Agreement. The enclosed Resolution adopts the Addendum prepared by
the County extending this deadline to October, 2003.
Please contact me if you have any questions or comments regarding the content of this
letter, the Resolution, the Extension Addendum or the original Land Disposition Agreement.
yours,
Steven A. Sondrall
JENSEN &. SONDRALL, P.A.
Enclosure
cc: .Jalerie Leone (w/eno.)
Dan Donahue (w/enc.)
4401 Xylon Avenue North
- New Hope. Minnesota 55428-4898
www. ci. new-hope, mn.us
City Hall: 763-531-5100 C/ry Haft Fax:
Police: 763-531-5170 Pofice Fax:
Public Works: 763-533-4823 Pu~flc Works Fax:
TDD: 763-531-5109
763.53~-5',3~,
763-53 ? -5'
763-533- 765£
August31,2000
Mr. Mark Hendrickson
Hennepin County
Office of Planning & Development
10709 Wayzata Boulevard, Suite 260
Minnetonka, MN 55305
Subject:
Request for Extension of Land Disposition Agreement for Development of Adult Day Care
Facility
Dear Mark:
As you are aware, the New Hope Economic Development Authority executed a Land Disposition
Agreement (Contract No. A20867) with Hennepin County on May 13, 1997, regarding the utilization of
Community Development Block Grant (CDBG) funds for the development of an adult day care facility on
city-owned property at 5501 and 5425 Boone Avenue North. Paragraph II of the agreement states that
the purpose of the purchase shall be implemented not later than three (3) years from and after the date
the CDBG reimbursement was received by the EDA from the County. The City understands that the
three-year timeline ends in October 2000. The agreement further states that if at the end of such three-
year period implementation of said project has not actually begun, but it can be demonstrated at such
time that said project is still viable and feasible, the City shall have an option to extend the period during
which it may hold such land for an additional three (3) year period. Per the attached correspondence
from Minnesota Masonic Homes, the City believes that the development of an adult day care center on
this site is still a viable project and can be completed within the next several years. Based on these facts,
the City of New Hope hereby requests that Hennepin County approve a three (3) year extension on the
agreement until October 2003.
The City has been in discussions with North Ridge Care Center and the affiliated CareBreak organization
for the past five-plus years regarding the development of an adult day care center and/or senior center
public facility on the city-owned property at 5501/5425 Boone Avenue North. CDBG funds were utilized,
in part, to purchase the property for this activity. In March of 1999, Minnesota Masonic Homes acquired
North Ridge Care Center. In December of 1999, an affiliation agreement was established between
Minnesota Masonic Homes and Senior Outreach Services dba CareBreak Adult Day Services. Per the
attached correspondence, the new organization is currently looking closely at its strategic plan for all
facets of its operations, including determining the appropriate location of CareBreak and its services.
Minnesota Masonic has requested an extension from the City on the intent to convey property on the
land adjacent to North Ridge until such time that the strategic plan review has been completed.
Family Styled City ~ For Family Living
Mr. Mark Hendricksorr
Page 2
August 30, 2000
The City is requesting an extension from the County at this time so that Minnesota Masonic can
complete its strategic plan, which may result in an adult day care facility being constructed on the subject
site. If in the future, an agreement is not reached with Minnesota Masonic Homes on the construction of
such a facility on the site, the City agrees to abide by the terms of the current agreement and either
propose an alternate use of the land for a project eligible for CDBG funding or sell the site for its market
value and return a prorated share of the sale proceeds to the County.
Please submit this letter requesting an extension of time on the development of an adult day care facility
-to the appropriate persons and/or the Hennepin County Board. Please contact me (763-531-5112) or
New Hope Community Development Director Kirk McDonald (763-531-5119) if you have any questions.
City Manager
Enclosures:
Minnesota Masonic Homes Correspondence
Site Map
Land Disposition Agreement
Cc~
Kirk McDonald, Community Development Director
Daryl Sulander, Director of Finance
Steve Sondrall, City Attorney
Improvement Project No. 493
Contract No. A20867
LANI) DISPOSITION AGREEMENT
TI-tIS AGREEMENT made and entered into by and between the Count.',' of Hermepin. State
of Minnesota. hereinafter referred to as the "Count>'" through its Office of Planning and
Development, hereinafter referred to as "OPD" and the Economic Development Authority. in and for
the City of New Hope, a Minnesota Municipal Corporation. hereinafter referred to as the "EDA".
each of which parties is a governmental unit for the State of Minnesota pursuant to Minnesota
Statutes, Section 471.59
WITNESSETH:
WHEREAS, the County through OPD is a duly designated Urban County Community
Development Block Grant entitlement recipient pursuant to the provisions of the Housing and
Community Development Act of 1974, Title I of Public Law 93-383, as amended. (42 USC 5301 et
seq), and
WHEREAS, the city of New Hope is an authorized subgrantee participant in the Urban
· Hennepin County Community Development Block Grant program by virtue of a Joint Cooperation
Agreement executed between City and County through OPD pursuant to MSA 471.59. and
WHEREAS, as Third Party Agreement has been executed between the city of New Hope and
the EDA for purposes of implementing this CDBG funded activity, and
WHEREAS, the Urban Hennepin County Community Development Block Grant program
permits the City to use Community Development Block Grant funds to acquire lands for the purpose
of assisting in the development of an adult daycare and/or senior center public facility, and
WHEREAS, the EDA has acquired through its power of eminent domain property located at
5501 and 5425 Boone Avenue North, in the City of New Hope, for an adult daycare and/or senior
center public facility. That said properties are legally described in paragraph I of the herein
agreement. Further, the award of damages paid to the fee owners of the subject property totaled
$376,764.00. For the purposes of this agreement, the parties hereto agree that this amount equals the
purchase price paid by the EDA for the property.
NOW THEREFORE, in consideration of the mutual covenants and promises contained in
this agreement, the parties hereto mutually agree to the following terms and conditions:
The EDA acknowledges receipt of the sum of $100,000.00 dollars provided through the
Urban Hennepin County Community Development Block Grant program to purchase and acquire
property at 5501 and 5425 Boone Avenue North in the City of New Hope, County of Hennepin, State
of Minnesota, legally described below. The parties acknowledge and agree the total purchase price for
the following described properties was $376,764.00.
5501 Boone Avenue North
That part of Lot 2, Block 2. lying North of the North line of the South 639.88 feet of said
Lot 2, Block 2, as measured along the East and West lines thereof, except the North 150 feet
thereof. Science Industry Center. according to the plat thereof on file or of record in the
Office of the Registrar of Titles in and for Hennepin County. Minnesota.
Subject to utility easements shown on plat; Subject to an overhead easement in favor of
Northern States Power Company as set forth in Document No. 1098475. Files of Registrar of
Titles; Subject to the storm sewer easement as set forth in the Notice of Subsequent Adverse
Claim, Document No. 2058134. Files of the Registrar of Titles.
5425 Boone Avenue North
The North 75 feet of the following described property:
The North 300 feet of the South 639.88 feet (as measured along the East and West lines
thereof) of Lot 2, Block 2, Science Industry Center. according to the plat thereof on file or of
record in the Office of the Registrar of Titles in and for Hennepin County. Minnesota.
Subject to utility easements as shown on plat.
II.
In consideration for the receipt of the $100,000.00 Urban Hennepin County Community
Development Block Grant, the EDA covenants and3grees that the purpose of such purchase and
acquisition of said property is for the development of an adult daycare facility and/or senior center
public facility and that such purpose shall be implemented not later than three (3) years from and after
the date CDBG reimbursement was received by the EDA from the County. If at the end of such three
~3) year period implementation of said project has not actually begun but it can be demonstrated at
such time that said project is still viable and feasible, the City shall have an option to extend the
.period during which it may hold such land for an additional three (3) year period.
III.
If at the end of the initial period of three (3) years or during the second three (3) year period
if the initial period should be so extended, it appears to the County through OPD that the said project
proposed is no longer viable or feasible so that the EDA could not develop the project on the site,
then, in such event, the County through OPD may,
2
A. Approve an alternate use of the land for a project eligible for Communitv Development
Block Grant funding or
B. Require that the site be sold for its fair market value. The fair market value shall be
established in accordance with the Uniform Act (49 CFR Par~ 24).
In the event that such property is sold in accordance with B (above). the portion of the
proceeds of such sale attributable to the ratio of the CDBG contribution to the purchase price
identified in Paragraph I would become the property of the County through OPD to be designated as
Community Development Block Grant income (CDBG). All program income returned to the Count-,'
is subject to the provisions of the Joint Cooperation Agreement. In no event shall the amoun~
returned be less than the CDBG contribution identified in Paragraph I. The EDA. its administrators.
heirs, and assigns, releases Hennepin County and OPD, its agents and employees, from an3' and all
actions, causes of action, or claims or demands whatsoever kind of nature regarding the proceeds of
such sale of property described above.
IV.
During the term of this Agreement the EDA may propose to the County through OPD
alternative uses for the site being so acquired and the County through OPD may consider and
authorize such alternative proposal provided that such alternative is eligible for Community
Development Block Grant assistance and that such alternative proposal meets then existing rules and
regulations for such assistance.
This Agreement is effective as of the /~Z~day of /)'~e~ . 19~7,
and shall continue in full force and effect until the-Project is completed~.o/n the described site or until
the land is sold or approved for an alternate use in accordance with Paragraph III above or at the
expiration of three years, whichever set of events occurs first.
The EDA having signed this Contract. an~ the Hennepti~County Board of Commissioners
having duly approved this Contract on the ] ?7-,M:tay of '[ )~.,r _-- . 19 qT. and pursuant to
such approval and the proper County officials having signed this Contract, the parties agree to be
bound by the provisions herein set forth.
· to legality/? form
Assistant nty Attorney
Date: /(''2q '0')
Appr. ovei~ to ~'~on:
COUNTY OF HENNEPIN
STATE OF MINN.ES. OTA
VJCE.,Chairma. n'o~' its Cou~'y t~ard ~ /~/~ 7/~ 7
Assisk~yCSu4aty Administrak:~
Cler~ the County ~oard
ECONOM~ DEVELOPMENT AUTHO~TY in and
for the CITY OF ~ ~P~
W. Peter Enck, President
Danie~J. Don~ue, ~cunve D~rector
ATTEST:
4
R~4
5501
Boone
HOSTERMAI'
,JR I-~IGH
SCHOOL
SUBJECT
I-1