01/20/2005 - City Council Finance Committee (2)RIMS
CITY COUNCIL
FINANCE COMMITTEE MEETING
THURSDAY
JANUARY 20, 2005
7:30 A.M.
EAGAN CITY HALL
CONFERENCE ROOMS 2A & 2B
I. AGENDA ADOPTION
II. DISCUSS FINANCIAL ASPECTS OF THE CEDAR GROVE
REDEVELOPMENT
• Review Requirements and Expectations of Land Assembly
• Development Agreement Deal Points
• Current Property Ownership Status
• Traffic Study/AUAR Update
• Other
III. DISCUSS OVERALL FINANCING TO INCLUDE STATUS OF
TIF AND STREET RECONSTRUCTION PROJECT
• Review TIF "Pooling" Options
IV. FUTURE MEETING TOPICS
• Market Feasibility — Comparison of Maxfield Study, AUAR Traffic
and Schafer Richardson -Ryland Plan
• Update Status of Grant Opportunities
V. OTHER BUSINESS
Vi. ADJOURNMENT
CEDAR GROVE REDEVELOPMENT
FINANCING CONSIDERATIONS
January 20, 2005
Five Different Funds/Projects:
1. TIF
2. Project 880 -Double Left Turn Lanes TH-13
3. Project 759R -Cedar Grove Parkway
4. Project 866 -Cedar Grove Streetscape
5. Project 800R -Cedar Grove Access Modifications
Currently Proposed To Be Financed By:
1. TIF Revenues
2. Land Sales
3. Special Assessments
4. Major Street Fund
5. State Grant Agreement
6. CDBG
7. Trunk Funds
8. Utility Enterprise Fund
Potential Additional Financing Sources:
1. Ad Valorem G. O. Bonds
2. TIF Pooling
3. Other
Financing Challenges:
1. Uncertain Costs
2. Uncertain Amount and Timing of Revenues
3. Relationship Between Assessments and Future Tax Increment Resulting
From Redevelopment (Double Counting the Revenue)
4. Assessments on Property Not Proposed For Redevelopment
5. Cedar Grove Area Benefit in Relation to Community Benefit
6. Other
Public Policy Direction:
1. Assessment Hearing
2. Major Street Fund Obligation
3. Use of Additional Financing Sources
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TIF Fund 14 -Jan -05
Financing Sources
CDBG Grant $ 310,000
Land Sale -Keystone 941,643
Land Sales-Nicols Ridge 1,013,000
Land Sale -US Homes-Lachenmayer 269,000
TIF
Total Financing Sources $ 8,255,918
Total asssessments currently agreed to be paid from TIF 1,031,594
- Total TIF currently required to balance the account
3
Cedar Grove
TIF
9334
Project Costs
Land
$ 5,309,402
Interest
554,076
Professional Fees -Legal and Engineering
586,335
Park and Trail Dedication -Keystone
216,462
Other Costs
30,032
Additional Easement Costs
97,191
Nicols Ridge Fees
430,826
Assessments Project 800R -Nichols Ridge
922,891
Assessments Project 759R -Nichols Ridge
108,703
Total Project Costs
$ 8,255,918
Financing Sources
CDBG Grant $ 310,000
Land Sale -Keystone 941,643
Land Sales-Nicols Ridge 1,013,000
Land Sale -US Homes-Lachenmayer 269,000
TIF
Total Financing Sources $ 8,255,918
Total asssessments currently agreed to be paid from TIF 1,031,594
- Total TIF currently required to balance the account
3
Project 880 --Double Left Turn Lanes TH-13
Project Costs
Contract Estimate or Final
40% or Actual Other Costs on Projects
Total Project Costs
Financing Sources
Major Street Fund
State Cooperative Agreement Funding
Total Financing Sources
i❑
14 -Jan -05
Double Left
Turns TH-13
Project 880
$ 621,661
248,664
$ 870,325
$ 330,325
540,000
$ 870,325
Project 759R --Cedar Grove Parkway 14 -Jan -05
Cedar Grove
Parkway
759R
Project Costs
Contract Award or Estimate $ 400,494
40% or Actual Other Costs on Projects 224,862
Final Project 759R Costs $ 625,356
Trailway 268,947
Total Project Costs $ 894,303
Financing Sources
Enterprise Fund $ 181,217
Trunk Funds 32,144
Assessments Project 759R -Nichols Ridge (By TIF) 108,703
Assessments Project 759R -Other 201,581
Major Street Fund 370,659
Total Financing Sources $ 894,303
Potential request for at least some
TIF assistance on redevelopment parcels.
5
Project 866 --Cedar Grove Streetscape
Project 800R --Cedar Grove Access Modifications
Cedar Grove
Cedar Grove Access
Streetscape Modifications
866 800R
Project Costs
Contract Estimate or Final $ 939,992
40% or Actual Other Costs on Projects 375,997
Conversion from Overhead to Underground Utilities 250,534
Total Project Costs $ 1,566,523
Financing Sources
Trunk Funds
Assessments -Nichols Ridge
Assessments -Development
Assessments -Other
Assessments -Keystone
Major Street Fund
Total Financing Sources
Potential request for at least some
TIF assistance on redevelopment parcels.
=Potential drain on Major Street Fund resources
impacting other City projects.
307,965
30,619
274,671
28,229
$ 1,566,523
u
14 -Jan -05
Total
$ 2,548,793 $ 3,488,785
1,349,586 1,725,583
- 250,534
$ 3,898,379 $ 5,464,902
$ 571,884
$ 571,884
614,926
922,891
61,138
91,757
548,445
823,116
56,366
84,595
$ 3,898,379
$ 5,464,902
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