HomeMy WebLinkAbout3 - Vermillion Street Project Area
Memo
To: Planning Commissioners
From: John Hinzman, Planning Director
Date: September 22, 2008
SubjectCity of Hastings – # 2008-25 - Vermillion Street Redevelopment
:
Project Area
REQUEST
The Planning Commission is asked to review the attached Vermillion Street
Redevelopment Project Area for conformance to the City’s “general plan for development”
as outlined in Minnesota State Statutes Chapter 469.028.
BACKGROUND INFORMATION
Purpose
A project area identifies a neighborhood or corridor where the City wishes to encourage
private redevelopment. A project area must be established before the City can provide
loans to improve property, or use financial assistance such as tax increment. The
designation is consistent with the Vermillion Street Development Guidelines adopted by the
City Council in January.
GENERAL PLAN ANAYLSIS
1)
ATTACHMENTS
Resolution
Vermillion Street Redevelopment Plan
PLANNING COMMISSION
CITY OF HASTINGS, MINNESOTA
RESOLUTION NO. PC 2008-01
RESOLUTION OF THE CITY OF HASTINGS PLANNING COMMISSION
FINDING THAT THE VERMILLION STREET REDEVELOPMENT PLAN FOR
THE VERMILLION STREET REDEVELOPMENT AREA CONFORMS TO THE
GENERAL PLANS FOR THE DEVELOPMENT AND REDEVELOPMENT OF THE
CITY.
WHEREAS, the Hastings Housing and Redevelopment Authority (the "HRA") and the City of Hastings
(the "City") have proposed to adopt the Vermillion Street Redevelopment Plan for the Vermillion Street
Redevelopment Area (the "Redevelopment Plan") and have submitted the Redevelopment Plan to the City
Planning Commission (the "Commission") and
WHEREAS, the Commission has reviewed the Redevelopment Plan to determine its conformity with the
general plans for the development and redevelopment of the City as described in the comprehensive plan for
the City.
NOW, THEREFORE, BE IT RESOLVED by the Commission that the Redevelopment Plan conforms to
the general plans for the development and redevelopment of the City as a whole.
Dated: September 22, 2008
_______________________________________
Greg Schmitt, Chair
ATTEST:
___________________________________
John Hinzman, Secretary
Draft as of September 18, 2008
For Planning Commission
REDEVELOPMENT PLAN
for the establishment of
THE VERMILLION STREET REDEVELOPMENT AREA
HASTINGS HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF HASTINGS
DAKOTA COUNTY
STATE OF MINNESOTA
Public Hearing: October 6, 2008
Adopted:
Prepared by: EHLERS & ASSOCIATES, INC.
3060 Centre Pointe Drive, Roseville, Minnesota 55113-1105
(651) 697-8500 fax: (651) 697-8555www.ehlers-inc.com
TABLE OF CONTENTS
(for reference purposes only)
MUNICIPAL ACTION TAKEN..................................................iii
SECTION I
REDEVELOPMENT PLAN FOR THE VERMILLION STREET REDEVELOPMENT
AREA................................................................1-1
Subsection 1-1.Definitions..............................................1-1
Subsection 1-2.Statutory Authority........................................1-2
Subsection 1-3.Statement of and Finding of Public Purpose....................1-2
Subsection 1-4.Statement of Objectives...................................1-3
Subsection 1-5.Statement of Redevelopment Project Activities.................1-4
Subsection 1-6.Funding of Developments and Redevelopments................1-5
Subsection 1-7.Environmental Controls....................................1-5
Subsection 1-8.Proposed Reuse of Property................................1-5
Subsection 1-9.Open Space to Be Created.................................1-5
Subsection 1-10.Administration and Maintenance of the Vermillion Street
Redevelopment Area................................................1-5
Subsection 1-11.Rehabilitation...........................................1-6
Subsection 1-12.Relocation..............................................1-6
Subsection 1-13.Property Acquisition......................................1-6
Subsection 1-14.Modification of the Redevelopment Plan and/or Vermillion
Street Redevelopment Area..........................................1-6
Subsection 1-15.Description of Boundaries of the Vermillion Street Redevelopment
Area.............................................................1-6
APPENDIX A
BOUNDARY MAPS OF THE VERMILLION STREET REDEVELOPMENT AREA.....A-1
MUNICIPAL ACTION TAKEN
(This Municipal Action is only for convenience of reference.)
Based upon the statutory authority described in the Redevelopment Plan attached hereto, the public purpose
findings by the City Council and for the purpose of fulfilling the City's development objectives as set forth
in the Redevelopment Plan, the City Council has created, established and designated the Vermillion Street
Redevelopment Area pursuant to and in accordance with the requirements of the Enabling Act and the TIF
Act as defined in the definitions of this document.
The following municipal action was taken in connection therewith:
Vermillion Street Redevelopment Area:
January 22, 2008: The Vermillion Street Corridor Development Guidelines were adopted by City of Hastings.
September 11, 2008: The Redevelopment Plan for the Vermillion Street Redevelopment Area was adopted
by the Housing and Redevelopment Authority in and for the City of Hastings.
September 22, 2008: The Redevelopment Plan for the Vermillion Street Redevelopment Area was reviewed
by the Hastings Planning Commission.
October 6, 2008: The Redevelopment Plan for the Vermillion Street Redevelopment Area was adopted by
the City of Hastings.
SECTION I
REDEVELOPMENT PLAN FOR THE VERMILLION STREET REDEVELOPMENT AREA
Subsection 1-1.Definitions
The terms defined below shall, for purposes of this Redevelopment Plan, have the meanings herein specified,
unless the context otherwise specifically requires.
"City" means the City of Hastings.
"City Council" means the City Council of the City of Hastings.
"County" means the County of Dakota County, Minnesota.
"Enabling Act" means Minnesota Statues, 469.001 to 469.047, as amended and supplemented from time
to time.
"HRA" means the Housing and Redevelopment Authority of the City of Hastings.
“EDA” means the Economic Development Authority of the City of Hastings.
“EDA Act” means Minnesota Statutes, Section 469.090 through 469.1081.
"Land Use Regulations" means all federal, state and local laws, rules, regulations, ordinances, and plans
relating to or governing the use of development of land in the City, including but not limited to
environmental, zoning and building code laws and regulations.
"Municipal Development District Act" means Minnesota Statutes, 469.124 to 469.134, inclusive, as
amended.
"Project Area" means the real property within the City constituting the Redevelopment Project.
"Public Costs" means the costs of the Redevelopment Project funded under the TIF Act, EDA Act,
Enabling Act or the Municipal Development District Act.
"Public Improvements" means the public improvements described in the Redevelopment Plan and any
future Tax Increment Financing Plan.
"Redevelopment Plan" means this Redevelopment Plan for the Vermillion Street Redevelopment Area,
as initially proposed, and as it shall be modified.
“Redevelopment Project” means the Vermillion Street Redevelopment Area,
"State" means the State of Minnesota.
"Tax Increment Bonds" means any tax increment bonds or notes issued by the City to finance the Public
Costs as stated in the Redevelopment Plan for the Vermillion Street Redevelopment Area and in the Tax
Increment Financing Plans, and any obligations issued to refund such bonds.
"TIF Act" means Minnesota Statutes, Sections 479.174 through 479.179, inclusive, as amended.
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment Area1-1
"Tax Increment Financing District" means any tax increment financing district to be established in the
future in the Vermillion Street Redevelopment Area.
"Tax Increment Financing Plan" or "Plan" means the Plans adopted by the HRA or City for any Tax
Increment Financing District.
“Vermillion Street Development Guidelines” means the report and recommendations adopted by the City
in January, 2008 to assist with economic development, land use, and transportation decisions along
Vermillion Street in the Redevelopment Area.
Subsection 1-2.Statutory Authority
The Enabling Act authorizes the HRA, upon certain public purpose findings by the HRA and City, to
establish and designate redevelopment projects within the City and to establish, develop and administer
redevelopment plans therefore to meet the needs and accomplish the public purposes specified in Statement
of and Finding of Public Purpose. In accordance with the purposes set forth in the Enabling Act, the HRA
and City have established the Redevelopment Project comprising the parcels described on the attached
Exhibit A and have adopted this Redevelopment Plan therefor.
The Enabling Act and the approval of this Redevelopment Plan by the City of Hastings authorizes the HRA
to undertake redevelopment activities within the Project Area and, at a date subsequent to the adoption of this
Redevelopment Plan and with future City Council approval, to establish and designate tax increment
financing districts within the Project Area to adopt and implement a tax increment financing plan to
accomplish the Redevelopment Plan for the Redevelopment Project.
Subsection 1-3.Statement of and Finding of Public Purpose
The HRA has determined that there is a need to take certain actions designed to encourage, ensure and
facilitate development and redevelopment of under utilized and unused land located within the corporate
limits of the City. These actions will provide additional employment opportunities for residents of the City
and the surrounding area, and improve the tax base, thereby enabling better utilization of existing public
facilities and provide needed public services, and improve the general economy of the City, the County, and
the State. Specifically, the HRA has determined that the property within the Project Area is either
underutilized or unused due to a variety of factors, including inadequate public parking to serve the property,
small parcels, non-conforming uses, vacant or underutilized property, possible environmental conditions,
obsolete building design and site layout, poor access and parking, and lack of streetscaping and visual appeal
that is needed to make this a viable business district. These factors have resulted in a lack of private
investment. As a result, the property is not providing adequate employment opportunities, and is not
contributing, to its full potential, to the tax base and general economy of the City, the School District, the
County and the State. Therefore, it is necessary for the City to exercise its authority under the Enabling Act
to develop and implement a program designed to encourage, ensure and facilitate the commercial and mixed
use development and redevelopment of the property located in the Project Area, to further and accomplish
the public purposes specified in this paragraph.
The land in the Project Area would not be developed or redeveloped solely through private investment in the
foreseeable future..
The welfare of the City, County and the State of Minnesota requires active promotion, attraction,
encouragement and development of economically sound commerce by the HRA.
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment Area1-2
Subsection 1-4.Statement of Objectives
The establishment of the Project Area in the City pursuant to the Enabling Act is necessary and in the best
interests of the City and its residents and is necessary to give the HRA the ability to meet certain public
purpose objectives that would not be obtainable in the foreseeable future without intervention by the City in
the normal development process.
The HRA intends, to the extent permitted by law, to accomplish the following objectives through the
implementation of the Redevelopment Plan:
1.Promoting and securing the development and redevelopment of property in the Project Area in a manner
consistent with the City's planning, the Vermillion Street Development Guidelines, and with a minimal
adverse impact on the environment, which property is less productive because of the lack of proper
utilization and lack of investment, and thereby promoting and securing the development of other land in
the City;
2.Promoting and securing additional employment opportunities within the Project Area and the City for
residents of the City and the surrounding area, thereby improving living standards and preventing
unemployment and the loss of skilled and unskilled labor and other human resources in the City;
3.Securing the increase in value of property subject to taxation by the City, School District, County and
any other taxing jurisdictions in order to better enable such entities to pay for public improvements and
governmental services and programs required to be provided by them;
4.Securing the construction and providing moneys for the payment of the cost of public improvements in
the Project Area, which are necessary for the completion of the Redevelopment Project and the orderly
and beneficial development of the Project Area.
5.Promoting compatible mix of commercial, institutional, and residential land uses..
6.Encouraging the expansion and improvement of local business, and enhancing economic vitality of
existing and new businesses.
Eliminating blighting influences that impede development in the area.
The provision of adequate streets, utilities, and other public improvements and facilities to enhance the
area for both new and existing development.
7.Creating a desirable and unique character within the Project Area through quality land use alternatives
and design quality in new buildings that create a safe environment for pedestrians, can be maintained
for the long run, and celebrates the historic role of Vermillion Street as the main artery within the City
of Hastings.
Supporting the physical connection to local trails, open space, and other community institutions.
8.Enhancing the integrity of residential neighborhoods adjacent to the Project Area. Providing and securing
the development of increased opportunities for families to reside in quality owner-occupied housing , for
senior citizens to choose from housing options which offer a wide array of services without regard to
income, and for residents looking for a wide range of multi-family units.
Enhancing the long term viability of the Project Area by facilitating:
•Land uses that complement and support existing businesses;
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment Area1-3
•New businesses that enhance the commercial market;
•Visual quality of the streetscape, landscape, site plan and building types of new
developments.
•Mixed use housing development where appropriate
•Safe access and convenient parking
Subsection 1-5.Statement of Redevelopment Project Activities
The HRA will perform or cause to be performed, to the extent permitted by law, all project activities pursuant
to the Enabling Act, the Tax Increment Financing Act and other applicable state laws, and in doing so
anticipates that the following may, but are not required, to be undertaking by the HRA:
(a) The making of studies, planning, and other formal and informal activities relating to the
Redevelopment Plan.
(b) The implementation and administration of the Redevelopment Plan.
(c) The re-zoning of land within the City.
(d) The acquisition of property, or interests in property, when acquisition is consistent with the objectives
of the Redevelopment Plan.
The assembly of redevelopment sites of such size and character to assure development and redevelopment
that meets the objectives of this Redevelopment Plan.
(e) The preparation of property for use and development in accordance with applicable Land Use
Regulations and any development agreements, including demolition of structures, clearance of sites,
placement of fill and grading.
(f) The resale or lease of property to private parties.
(g) The construction, reconstruction ,or rehabilitation of facilities to own and lease as described in the
Tax Increment Financing Plans.
(h) The installation, construction, or reconstruction of streets, utilities, sidewalks, lighting, retaining
walls, or other site improvements.
(i) The implementation of a rehabilitation loan or grant program for properties within the Project Area.
Subsection 1-6.Funding of Developments and Redevelopments
It is anticipated that the Public Costs of the Redevelopment Plan will be paid from available sources of
revenue, including but not limited to:
•special assessments and user charges
•property tax levy collected by the HRA or EDA
•land sale proceeds
•lease or rental revenues
•grant and loan proceeds
•Tax Increment or proceeds from Tax Increment Bonds
•contributions from the City
•other funding sources designated by the City or HRA
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment Area1-4
which the HRA may apply to pay a portion of the Public Costs.
Subsection 1-7.Environmental Controls
All municipal actions, public improvements and private development shall be carried out in a manner
consistent with existing environmental controls and all applicable Land Use regulations.
Subsection 1-8.Proposed Reuse of Property
The Redevelopment Plan contemplates that the HRA or City may acquire property and reconvey the same
to another entity. Prior to formal consideration of the acquisition of any property, the HRA or City will
require the execution of a binding development agreement with respect thereto and evidence that funds will
be available to repay the Public Costs associated with the proposed acquisition. It is the intent of the HRA
and City to negotiate the acquisition of property whenever possible. Appropriate restrictions regarding the
reuse and redevelopment of property shall be incorporated into any development agreement to which the
HRA is a party.
Subsection 1-9.Open Space to Be Created
Any open space within the Redevelopment Project will be created in accordance with the zoning and planning
ordinances of the City and the Vermillion Street Development Guidelines.
Subsection 1-10.Administration and Maintenance of the Vermillion Street
Redevelopment Area
Maintenance and operation of the Redevelopment Project will be the responsibility of the HRA Director.
Each year, the administrator of the Redevelopment Project will submit to the HRA Board of Commissioners
the maintenance and operation budget for the following year.
The administrator of the Redevelopment Project will administer the Redevelopment Project pursuant to the
provision of the Enabling Act; provided, however, that such powers may only be exercised at the direction
of the HRA. No action taken by the administrator of the Redevelopment Project pursuant to the above-
mentioned powers shall be effective without authorization by the HRA.
Subsection 1-11.Rehabilitation
Owners of properties within the Project Area may be encouraged to rehabilitate their properties to conform
with the applicable state and local codes and ordinances, as well as any design standards. Persons who
purchase property within the Project Area from the HRA or City may be required to rehabilitate their
properties as a condition of sale of land. The HRA or City may provide such rehabilitation assistance as may
be available from federal, state or local sources.
Subsection 1-12.Relocation
Any person or business that is displaced as a result of the Redevelopment Plan will be relocated in accordance
with Minnesota Statutes, Section 117.50 to 117.56. The HRA accepts its responsibility for providing for
relocation assistance pursuant to the Enabling Act.
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment Area1-5
Subsection 1-13.Property Acquisition
The HRA or City intends to acquire such property, or appropriate interest therein, within the Project Area as
the Authority may deem to be necessary or desirable to assist in the implementation of the Redevelopment
Plan.
Subsection 1-14.Modification of the Redevelopment Plan and/or Vermillion Street
Redevelopment Area
The HRA reserves the right to alter and amend the Redevelopment Plan, subject to the provisions of state
law regulating such action. The HRA specifically reserves the right to enlarge or reduce the size of the
Project Area.
Subsection 1-15.Description of Boundaries of the Vermillion Street
Redevelopment Area
The Redevelopment Project shall include the following parcels
193215004080197730008005194470017007192775001202198170012101
193215001080197730021204195845001001192775003002191630002001
193215006079197730009005190370001105190380001020198170001004
193215008080197730010205194470019007190380001021198170012201
193215004088197730019104194470020007190370001008198170003004
193215006088197730010105194470021007190370001009198170019004
193215006188197730011005190370008105190370001510198170018004
193215003089197730012005194470022007190370001510198170014001
193215004089197730013005194470023007190340001050198170017104
193215006089197730016004190370008205198170001101198170004004
193215005089197730014005194470024007197755001004198170005004
193215006198197730010007194470002018197755001104190340001055
191320003006197730005106194470002218197755001005191955101001
191320014006197730009007194470002318197755003005191955102001
191320005106197730008007194470003018198170002101198170025105
191320007006197730005107194470004018198170001001191955103001
191320010006197730005007194470007118198170003002198170023001
191320006206197730007107194470008018198170005302198170004005
191320009106197730007007194470010018197755006004198170005005
193215006079194470002306194470011018198170004001198170002006
191320007006194470002406194470012018198170002001198170030006
191320009106194470016106194470015018197755005004198170010106
197730002004194470003107194470016018198170002103197730004005
197730028004194470012206194470001018198170006001197730026004
197730003005194470005207190370001407198170013003197730003004
197730027004194470008207190380008101198170003003193215002189
197730026104194470010207190380013101191630001001193215002089
197730025204194470013007190380001007198170008101193215007089
197730025004190380001007198815001002198170005003
197730006005198815004001198815004002191630004001
197730022004194470015107192775001101198170009001
197730007005194470016007192775001001191630003001
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment Area1-6
APPENDIX A
BOUNDARY MAPS OF THE VERMILLION STREET REDEVELOPMENT AREA
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment AreaA-1
City of Hastings Redevelopment Plan for the Vermillion Street Redevelopment AreaA-2