HomeMy WebLinkAboutMet Council - correspondence & approvals tMetropolitan Council
Working for the Region, Planning for the Future
May 23, 2001
Katherine Hadley, Commissioner
Minnesota Housing Finance Agency
400 Sibley Street, Suite 300
St. Paul MN 55101
RE: City of Orono
Multifamily Housing Development Program—Orono Woods Apartment Project
Metropolitan Council Referral File 18522-1
Dear Commissioner Hadley:
The City of Orono has submitted for our review pursuant to Minnesota Statutes Chapter
462C, a proposed housing bond program for the Orono Woods Apartment Project. The
program proposes to finance acquisition and construction of a 62-unit apartment
development at the intersection of Brown Road and Wayzata Boulevard in Orono through
issuance of up to $9 million in revenue bonds.
The construction of this 62-unit rental apartment development for independent seniors
age 62 and older is consistent with local and regional plans that call for the development of
life-cycle housing options in suburban communities, especially those that provide the
opportunity for citizens to remain in their communities and roll over their existing homes
to new young households moving into or moving up in the city.
The Regional Blueprint encourages the development of life-cycle housing options
throughout the region. As a participant in the region's Livable Communities Local
Housing Incentives Program, Orono has negotiated housing goals that encourage more
rental and life-cycle housing options in the city. Given Orono's forecasted sewered
housing growth through 2010 and the benchmarks for rental housing in the suburbs in the
Southwest of Minneapolis planning sector, it would be expected that Orono would add
about 100 rental units during the decade. This elderly rental housing appears to be the first
rental housing built in Orono since the city began LCA participation in 1995.
Orono Woods will be built very close to services available in downtown Long Lake,
including transit service. The proposed density of around 15 units per acre is also
consistent with efforts to increase residential density, thus reducing land costs per unit and
total development costs.
Although the city's comprehensive plan has not been reviewed by the Council, the plan
submitted for review indicates that it likely guides a sufficient amount of land for the
development of medium density housing that would permit Orono to meet its affordable
homeownership benchmark number if such affordable units were proposed.
V:TIBRARY\COMMUNDVPETERSOM2001\052301 OronoN l 8522-I.doc
230 East Fifth Street St.Paul,Minnesota 55101-1626 (651)602-1000 Fax 602-1550 TDD/TIY 291-0904 Metro Info Line 602-1888
An Equal Opportunity Employer
i
Katherine Hadley
Orono Woods
Page 2 of 2
There is, however, still some question as to the availability of additional land guided such
that another 40 units of rental housing might be developed in the city. City staff indicates
that there are a couple of smaller sites that might be appropriate for infill or reuse for
higher density residential development. The city is encouraged to continue to identify and
reguide and rezone parcels in the community that could appropriately be developed or
redeveloped for high-density residential uses including rental housing or affordable
multifamily home ownereship.
If you have any quest.' --, II lease call me at 651.602.1418.
Sin •reld,
i
Guy D. 'eterson
Planning Analyst
c: Michael Gaffron, City of Orono
Stephen Rosholt, Faegre and Benson
V:\LIB RARY\C OMMUND WETERSON\2001 X05 23 01 Orono#l 8522-1 doc
A
•
Metropolitan Council
Working for the Region, Planning for the Future
July 27, 2001
RECEIVED
Mr. Ronald G. Stein AUG 0 1 2001
Assistant Vice President
Nichols Financial Services Company Ur ORONO
350 West Burnsville Parkway, Suite 500
Burnsville MN 55337
RE: 221(d)(4) New Construction
Orono Senior Housing—Orono
Metropolitan Council Referral File No. 18575-1
Dear Mr. Stein:
Thank you for the opportunity to comment on this proposal. Although the Metropolitan
Council no longer formally reviews proposals with HUD involvement, we appreciate the
opportunity to informally comment on proposals' relationships to local and regional plans
and policies.
The construction of this 62-unit rental apartment development for independent seniors
age 62 and older at the intersection of Brown Road and Wayzata Boulevard in Orono is
consistent with local and regional plans that call for the development of life-cycle housing
options in suburban communities. It is especially advantageous if this housing provides
the opportunity for citizens to remain in their communities and roll over their existing
homes to new young households moving into or moving up to different homes in the city.
The Regional Blueprint encourages the development of life-cycle housing options
throughout the region. As a participant in the region's Livable Communities Local
Housing Incentives Program, Orono has negotiated housing goals that encourage more
rental and life-cycle housing options in the city. Given Orono's forecasted sewered
housing growth through 2010 and the benchmarks for rental housing in the suburbs in the
Southwest of Minneapolis planning sector, it would be expected that Orono would add
about 100 rental units during the decade. This elderly rental housing appears to be the first
rental housing built in Orono since the city began LCA participation in 1995.
Orono Woods will be built very close to services available in downtown Long Lake,
including transit service. The proposed density of around 15 units per acre is also
consistent with efforts to increase residential density, thus reducing land costs per unit and
total development costs.
Although review of the city's comprehensive plan by the Council is not complete, the plan
submitted for review indicates that it likely guides a sufficient amount of land for the
V:\CdBRARY\COM UNDV1PETERSON\2001\An70IOmnoSatiorHou ing.doc
230 East Fifth Street St.Paul.Minnesota 55101-1626 (651)602-1000 Fax 602-1550 TDD/TIY 291-0904 Metro Info Line 602-1888
An Firm??Onnortnnfh/Emnfouer
z.
development of medium density housing that would permit Orono to meet its affordable
homeownership benchmark number if such affordable units were proposed.
There is, however, still some question as to the availability of additional land guided such
that another 40 units of rental housing might be developed in the city. City staff indicates
that there are a couple of smaller sites that might be appropriate for infill or reuse for
higher density residential development. The city is encouraged to continue to identify and
reguide and rezone parcels in the community that could appropriately be developed or
redeveloped for high-density residential uses including rental housing or affordable
multifamily home ownership.
If you have any questions, please call me at 651.602.1418.
S : ere
y D. eterson
Planning Analyst
cc: Michael Gaffron, City of Orono
V LLdBRARY\COMMUNDV\PETERSON\2001\07270 I OronoSeniorHousing.doe
Hennepin County Taxpayer Services Department
Hennepin
• A-600 Hennepin County Government Center
Minneapolis,Minnesota 55487-0060
,i
May 7, 2001
Rusty Fifield
Financial Advisor
Ehlers &Associates, Inc. •
3060 Centre Pointe Drive
Roseville, MN 55113-1105
Re: Orono Housing TIF District 1-1
Dear Mr. Fifield:
Enclosed is a report from Richard P. Johnson, Hennepin County Deputy Administrator, to the
Hennepin County Board of Commissioners, concerning the proposed Orono Housing TIF District 1-1.
Please arrange to have the report entered into the record of the public hearing of the Orono City
Council on Monday, May 14, 2001, to reflect the input of Hennepin County, as provided by Minnesota
Statutes, Section 469.175, Subd. 2.
If you have any questions about this information, please call me at 612-348-5076.
Sincerely,
(2\„20/rt, 177 0,:a11.6-tUev/2-7
Jean M. Bierbaum, Senior Administrative Assistant
Financial Analysis and Support Division
Cc Ron Moorse, Administrator, City of Orono, P.O. Box 66, Crystal Bay, MN 55323
RevuOrono115142001 JTransmittalLetter
An Equal Opportunity Employer Recycled Paper
lennepin Hennepin County Memo
DATE: May 8, 2001
TO: Board of Commissioners
FROM: Richard P. Johnson, Deputy County Administrator 12)12).1
SUBJECT: Proposed Orono Senior Housing TIF District No. 1-1
Hearing Scheduled: Monday, May 14, 2001, at 7:30 p.m., Orono City Hall.
Proposal: Orono has proposed creation of its first tax increment financing district to facilitate construction of
62 units of rental senior housing for persons of low and moderate income at the north west corner of
Wayzata Boulevard and Brown Road.
Fiscal Impact: This one-parcel TIF District will have a duration of 25 years of tax increment from receipt of
the first tax increment,which is projected to occur in 2003. The district will have a life of 25 years from
receipt of the first tax increment. The project,with an estimated $125,000,000 to $150,000,000 of total
project costs, has secured funding from the Metropolitan Council of$1,200,000 in a Livable Communities
Demonstration Account to assist in parking costs/public spaces.
Sources of Public Funds: Uses of Public Funds:
Tax Increment $2,030,000 Land/Bldg Acquisition $775,000
Inter-Fund Loans/Transfers 1,393,000 Site Improvements 100,000
Total Sources of Funds $3,423,000 Public Utilities 77,000
Streets/Sidewalks 562,000
Other Public Improvements 31,000
Interest on PAYG Note 1,159,000
Administrative Costs 70,000
Inter-fund Loans/Transfers 649,000
Total Project Costs $3,423,000
HENNEPIN COUNTY ROAD COSTS (Comments submitted by Jim Grube, Hennepin County Transportation
Department): "In staff's opinion the traffic generated by this development can be carried by the inplace
facilities and that no additional roadway improvements would be required:°-:.-,.,- The proposed right-in-Tight= ---4-;fc-=" _
out access to TH-12 from the site (west of Brown Road)would not meet County Access Spacing Guidelines.
One option might be to reconfigure this access to orientate it to the existing median opening at Shaughnessy
Avenue. If the access is reoriented,there would be issues of significant grades and the access would need
to be coordinated with the adjacent property to the west. A second option might be to orientate all site
access to the rear of the property,where there appears to be a future street/utility access between Brown
Road and Willow Drive. Transportation Planning staff will be talking with Long Lake, Orono and Mn/DOT
regarding the development of an access plan for this segment of TH-12 that could establish the pattern of
local access and address traffic control.
SUMMARY: Despite projecting a maximum allowable duration of 26 years of tax increment generation, it
otherwise appears that the proposed Orono Housing TIF District No. 1-1 satisfies the preference of the
Hennepin County Board of Commissioners for use of tax increment financing, as identified in Resolution 92-
10-017R1, adopted 10/27/92, because it targets public assistance to low to moderate income senior rental
housing. A copy of this report will be sent to the City of Orono with a request that it be entered into the public
record of the May 14, 2001, public hearing, to reflect the County's position on this proposal.
(w:RevuOrono115142001 J)
4
Hennepin County Memo
Hennepin
DATE: May 8, 2001
TO: Board of Commissioners
FROM: Richard P. Johnson, Deputy County Administrator
SUBJECT: Proposed Orono Senior Housing TIF District No. 1-1
Hearing Scheduled: Monday, May 14, 2001, at 7:30 p.m., Orono City Hall.
Proposal: Orono has proposed creation of its first tax increment financing district to facilitate construction of
62 units of rental senior housing for persons of low and moderate income at the north west corner of
Wayzata Boulevard and Brown Road.
Fiscal Impact: This one-parcel TIF District will have a duration of 25 years of tax increment from receipt of
the first tax increment, which is projected to occur in 2003. The district will have a life of 25 years from
receipt of the first tax increment. The project, with an estimated $125,000,000 to $150,000,000 of total
project costs, has secured funding from the Metropolitan Council of$1,200,000 in a Livable Communities
Demonstration Account to assist in parking costs/public spaces.
Sources of Public Funds: Uses of Public Funds:
Tax Increment $2,030,000 Land/Bldg Acquisition $775,000
Inter-Fund Loans/Transfers 1,393,000 Site Improvements 100,000
Total Sources of Funds $3,423,000 Public Utilities 77,000
Streets/Sidewalks 562,000
Other Public Improvements 31,000
Interest on PAYG Note 1,159,000
Administrative Costs 70,000
Inter-fund Loans/Transfers 649,000
Total Project Costs $3,423,000
HENNEPIN COUNTY ROAD COSTS (Comments submitted by Jim Grube, Hennepin County Transportation
Department): "In staff's opinion the traffic generated by this development can be carried by the inplace
facilities and that no additional roadway improvements would be required. The proposed right-in-right- - '-
out access to TH-12 from the site (west of Brown Road) would not meet County Access Spacing Guidelines.
One option might be to reconfigure this access to orientate it to the existing median opening at Shaughnessy
Avenue. If the access is reoriented, there would be issues of significant grades and the access would need
to be coordinated with the adjacent property to the west. A second option might be to orientate all site
access to the rear of the property, where there appears to be a future street/utility access between Brown
Road and Willow Drive. Transportation Planning staff will be talking with Long Lake, Orono and Mn/DOT
regarding the development of an access plan for this segment of TH-12 that could establish the pattern of
local access and address traffic control.
SUMMARY: Despite projecting a maximum allowable duration of 26 years of tax increment generation, it
otherwise appears that the proposed Orono Housing TIF District No. 1-1 satisfies the preference of the
Hennepin County Board of Commissioners for use of tax increment financing, as identified in Resolution 92-
10-017R1, adopted 10/27/92, because it targets public assistance to low to moderate income senior rental
housing. A copy of this report will be sent to the City of Orono with a request that it be entered into the public
record of the May 14, 2001, public hearing, to reflect the County's position on this proposal.
(w:RevuOrono115142001 J)
4.
Hennepin County Taxpayer Services Department
Hennepin
• A-600 Hennepin County Government Center
Minneapolis,Minnesota 55487-0060
{ ,� �!1'x..••1'1'✓:•;.,�,
b
May 7, 2001
Rusty Fifield
Financial Advisor
Ehlers &Associates, Inc.
3060 Centre Pointe Drive
Roseville, MN 55113-1105
Re: Orono Housing TIF District 1-1
Dear Mr. Fifield:
Enclosed is a report from Richard P. Johnson, Hennepin County Deputy Administrator, to the
Hennepin County Board of Commissioners, concerning the proposed Orono Housing TIF District 1-1.
Please arrange to have the report entered'into the record of the public hearing of the Orono City
Council on Monday, May 14, 2001, to reflect the input of Hennepin County, as provided by Minnesota
Statutes, Section 469.175, Subd. 2.
If you have any questions about this information, please call me at 612-348-5076.
Sincerely,
r:2\„204,t, �7
Jean M. Bierbaum, Senior Administrative Assistant
Financial Analysis and Support Division
Cc Ron Moorse, Administrator, City of Orono, P.O. Box 66, Crystal Bay, MN 55323
RevuOrono115142001 JTransmittalLetter
An Equal Opportunity Employer Recycled Paper
4.
Hennepin County Memo
Hennepin
DATE: May 8, 2001
TO: Board of Commissioners
FROM: Richard P. Johnson, Deputy County Administrator fl/ ,
SUBJECT: Proposed Orono Senior Housing TIF District No. 1-1
Hearing Scheduled: Monday, May 14, 2001, at 7:30 p.m., Orono City Hall.
Proposal: Orono has proposed creation of its first tax increment financing district to facilitate construction of
62 units of rental senior housing for persons of low and moderate income at the north west corner of
Wayzata Boulevard and Brown Road.
Fiscal Impact: This one-parcel TIF District will have a duration of 25 years of tax increment from receipt of
the first tax increment, which is projected to occur in 2003. The district will have a life of 25 years from
receipt of the first tax increment. The project, with an estimated $125,000,000 to $150,000,000 of total
project costs, has secured funding from the Metropolitan Council of$1,200,000 in a Livable Communities
Demonstration Account to assist in parking costs/public spaces.
Sources of Public Funds: Uses of Public Funds:
Tax Increment $2,030,000 Land/Bldg Acquisition $775,000
Inter-Fund Loans/Transfers 1,393,000 Site Improvements 100,000
Total Sources of Funds $3,423,000 Public Utilities 77,000
Streets/Sidewalks 562,000
Other Public Improvements 31,000
Interest on PAYG Note 1,159,000
Administrative Costs 70,000
Inter-fund Loans/Transfers 649,000
Total Project Costs $3,423,000
HENNEPIN COUNTY ROAD COSTS (Comments submitted by Jim Grube, Hennepin County Transportation
Department): "In staff's opinion the traffic generated by this development can be carried by the inplace
facilities and that no additional roadway improvements would be required. The proposed right-in right-
out access to TH-12 from the site (west of Brown Road)would not meet County Access Spacing Guidelines.
One option might be to reconfigure this access to orientate it to the existing median opening at Shaughnessy
Avenue. If the access is reoriented, there would be issues of significant grades and the access would need
to be coordinated with the adjacent property to the west. A second option might be to orientate all site
access to the rear of the property, where there appears to be a future street/utility access between Brown
Road and Willow Drive. Transportation Planning staff will be talking with Long Lake, Orono and Mn/DOT
regarding the development of an access plan for this segment of TH-12 that could establish the pattern of
local access and address traffic control.
SUMMARY: Despite projecting a maximum allowable duration of 26 years of tax increment generation, it
otherwise appears that the proposed Orono Housing TIF District No. 1-1 satisfies the preference of the
Hennepin County Board of Commissioners for use of tax increment financing, as identified in Resolution 92-
10-017R1, adopted 10/27/92, because it targets public assistance to low to moderate income senior rental
housing. A copy of this report will be sent to the City of Orono with a request that it be entered into the public
record of the May 14, 2001, public hearing, to reflect the County's position on this proposal.
(w:RevuOrono115142001J)
Hennepin County Taxpayer Services Department
Hennepin
A-600 Hennepin County Government Center
Minneapolis,Minnesota 55487-0060
-
co
ti
May 7, 2001
Rusty Fifield
Financial Advisor
Ehlers &Associates, Inc.
3060 Centre Pointe Drive
Roseville, MN 55113-1105
Re: Orono Housing TIF District 1-1
Dear Mr. Fifield:
Enclosed is a report from Richard P. Johnson, Hennepin County Deputy Administrator, to the
Hennepin County Board of Commissioners, concerning the proposed Orono Housing TIF District 1-1.
Please arrange to have the report entered into the record of the public hearing of the Orono City
Council on Monday, May 14, 2001, to reflect the input of Hennepin County, as provided by Minnesota
Statutes, Section 469.175, Subd. 2.
If you have any questions about this information, please call me at 612-348-5076.
Sincerely,
1 0.%-elAr-e(477-
Jean M. Bierbaum, Senior Administrative Assistant
Financial Analysis and Support Division
Cc Ron Moorse, Administrator, City of Orono, P.O. Box 66, Crystal Bay, MN 55323
RevuOrono115142001 JTransmittalLetter
An Equal Opportunity Employer Recycled Paper
_
Hennepin County Taxpayer Services Department
Hennepin - --
A-600 Hennepin County Government Center
Minneapolis,Minnesota 55487-0060
May 7, 2001
Rusty Fifield
Financial Advisor
Ehlers &Associates, Inc.
3060 Centre Pointe Drive
Roseville, MN 55113-1105
Re: Orono Housing TIF District 1-1
Dear Mr. Fifield:
Enclosed is a report from Richard P. Johnson, Hennepin County Deputy Administrator, to the
Hennepin County Board of Commissioners, concerning the proposed Orono Housing TIF District 1-1.
Please arrange to have the report entered into the record of the public hearing of the Orono City
Council on Monday, May 14, 2001, to reflect the input of Hennepin County, as provided by Minnesota
Statutes, Section 469.175, Subd. 2.
If you have any questions about this information, please call me at 612-348-5076.
Sincerely,
\.20zyt,
1//. < �
Jean M. Bierbaum, Senior Administrative Assistant
Financial Analysis and Support Division
Cc Ron Moorse, Administrator, City of Orono, P.O. Box 66, Crystal Bay, MN 55323
RevuOrono115142001 JTransmittalLetter
An Equal Opportunity Employer Recycled Paper
1
4 1 .4
Hennepin County Memo
Hennepin
DATE: May 8, 2001
TO: Board of Commissioners
FROM: Richard P. Johnson, Deputy County Administrator /7
SUBJECT: Proposed Orono Senior Housing TIF District No. 1-1
Hearing Scheduled: Monday, May 14, 2001, at 7:30 p.m., Orono City Hall.
Proposal: Orono has proposed creation of its first tax increment financing district to facilitate construction of
62 units of rental senior housing for persons of low and moderate income at the north west corner of
Wayzata Boulevard and Brown Road.
Fiscal Impact: This one-parcel TIF District will have a duration of 25 years of tax increment from receipt of
the first tax increment, which is projected to occur in 2003. The district will have a life of 25 years from
receipt of the first tax increment. The project, with an estimated $125,000,000 to $150,000,000 of total
project costs, has secured funding from the Metropolitan Council of$1,200,000 in a Livable Communities
Demonstration Account to assist in parking costs/public spaces.
Sources of Public Funds: Uses of Public Funds:
Tax Increment $2,030,000 Land/Bldg Acquisition $775,000
Inter-Fund Loans/Transfers 1,393,000 Site Improvements 100,000
Total Sources of Funds $3,423,000 Public Utilities 77,000
Streets/Sidewalks 562,000
Other Public Improvements 31,000
Interest on PAYG Note 1,159,000
Administrative Costs 70,000
Inter-fund Loans/Transfers 649,000
Total Project Costs $3,423,000
HENNEPIN COUNTY ROAD COSTS (Comments submitted by Jim Grube, Hennepin County Transportation
Department): "In staff's opinion the traffic generated by this development can be carried by the inplace
facilities and that no additional roadway improvements would be required. The proposed right-in right -
out access to TH-12 from the site (west of Brown Road)would not meet County Access Spacing Guidelines.
One option might be to reconfigure this access to orientate it to the existing median opening at Shaughnessy
Avenue. If the access is reoriented, there would be issues of significant grades and the access would need
to be coordinated with the adjacent property to the west. A second option might be to orientate all site
access to the rear of the property, where there appears to be a future street/utility access between Brown
Road and Willow Drive. Transportation Planning staff will be talking with Long Lake, Orono and Mn/DOT
regarding the development of an access plan for this segment of TH-12 that could establish the pattern of
local access and address traffic control.
SUMMARY: Despite projecting a maximum allowable duration of 26 years of tax increment generation, it
otherwise appears that the proposed Orono Housing TIF District No. 1-1 satisfies the preference of the
Hennepin County Board of Commissioners for use of tax increment financing, as identified in Resolution 92-
10-017R1, adopted 10/27/92, because it targets public assistance to low to moderate income senior rental
housing. A copy of this report will be sent to the City of Orono with a request that it be entered into the public
record of the May 14, 2001, public hearing, to reflect the County's position on this proposal.
(w:RevuOrono115142001J)
4•