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CR 07-021 Transit Oriented Development Application-E Main st RedevelopG~TY OF February 14, 2007 H O P K I N S Council Report 2007-021 • HENNEPIN COUNTY TRANSIT ORIENTED DEVELOPMENT APPLICATION -EAST MAINSTREET REDEVELOPMENT Proposed Action Staff recommends adoption of the following motion: Move to approve Resolution 2007- 15supporting the Hennepin County Housing & Redevelopment Authority's Transit Oriented Development Grant application. With this motion the application will be prepared and sent to Hennepin County for consideration. Ov rview The Hennepin County Board of Commissioners included $2,000,000 in bonding for Transit Oriented Development (TOD) in the 2007 Capital Budget. The County Board is making these funds available through a competitive grant process with applications due by February 22, 2007. Projects eligible for TOD funding must reinforce both the community and the transit system, exhibit a compact and efficient use of available space, rather than auto oriented sprawl and contain a diversity and mix of uses with daily conveniences and transit at the center. Projects must be located in an established redevelopment area. The two projects approved for the redevelopment area, Sixth & Main and Marketplace & Main, both exhibit the qualities that make them transit oriented and therefore eligible to apply for these funds. The application will seek $400,000 to pay for demolition and related site activities. Primary Issues to Consider The grant funds would be used to fund the demolition portion of the two projects and reduce the Hopkins Housing & Redevelopment Authority's expenditures on the projects. Supporting Information Resolution 2007-15 TOD Gu~deli r~ Kerste Iverum Hou g & Development Coordinator Financial Impact: $ 0 Budgeted: Y/N Source: Related Documents (CIP, ERP, etc.): Notes: CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION NO. 2007-15 RESOLUTION SUPPORTING THE TRANSIT ORIENTED DEVELOPMENT GRANT APPLICATION SUBMITTED TO THE HENNEPIN COUNTY HOUSING AND REDEVELOPMENT AUTHORITY WHEREAS, the City of Hopkins has established Tax Increment District 1-3 and 1-4 to facilitate the redevelopment of the east end of Mainstreet; and WHEREAS, the redevelopment costs exceed the funds available to the project; and WHEREAS, the City of Hopkins considers the redevelopment of these project areas a priority for the City. THEREFORE, BE IT RESOLVED, that the City of Hopkins, in accordance with Minnesota Statures 383B.77, subd. 3., supports the Transit Oriented Development grant application submitted to the Hennepin County Housing and Redevelopment Authority on February 22, 2007, by the Hopkins Housing & Redevelopment Authority for the East Mainstreet redevelopment site. Adopted this 20th day of February, 2007. By Eugene J. Maxwell, Mayor Attest: Terry Obermaier, City Clerk. Hennepin County Department of Housing, Community Works and Transit 2007 Transit Oriented Development (TOD) Guidelines Hennepin County Transit Oriented Development (TOD) Bond Funds Hennepin County Housing, Community Works and Transit 417 North Fifth Street, Suite 320 Minneapolis, MN 55401-1362 Please note that awards under this program may be funded out of the proceeds of taz-ezempt bonds. You should consider whether the source of funds has implications, financial or otherwise, to your project. I. Introduction Laws of Minnesota 2001, Chapter 214, Section 10, expanded the authority of Hennepin County to issue bonds without referendum under its capital improvement bond authority to finance public and private multi jurisdictional housing and redevelopment activities. (See Appendix B Definitions.) Hennepin County is making available $2 million in Capital Bond funds to support multi- . jurisdictional Transit Oriented Development (TOD) housing and redevelopment projects located at or directly adjacent to light rail stations and major bus transit centers where transit service is frequent and high capacity. These funds are intended to supplant, not replace, existing available resources, and increase use of Transit Corridors in Hennepin County. II. Eligible Applicants Eligible applicants include: Statutory or home rule charter cities or towns, development authorities (e.g. Housing Redevelopment Authority, Economic Development Authority or Port Authority) and private entities. The government body for the jurisdiction in which the project takes place must adopt resolutions that authorize submittal of the application and execution of subsequent implementing grant agreements and contracts, document that the project is in a Redevelopment Project Area, and approve participation in a multi- jurisdictional project with Hennepin County and the Hennepin County Housing and Redevelopment Authority (HCHRA). III. Eligible Areas are in Hennepin County Only Funding is only available to those multi jurisdictional programs and projects in Hennepin County that are located within officially designated Redevelopment Project Areas or Housing Districts and are adjacent to Hennepin County Transit Corridors, and/or where new or enhanced transit services supporting Hennepin County strategies are taking place. Eligible areas include, but are not limited to: 29~` Street Midtown Greenway; Hiawatha LRT Corridor; Northeast Diagonal, Dakota Rail Line, Southwest Corridor; and the County Road 81 Bottineau Boulevard, including Lowry Avenue and West Broadway. Applicants must document access to existing and enhanced bus transit service, where applicable. IV. Eligible Activities PREFERENCE GIVEN TO ACTIVITIES THAT INCREASE TRANSIT RIDERSHIP Eligible activities and use of funds that support a public purpose include: a) Acquire real property for the purpose of removing, preventing or reducing blight, blighting factors or the causes of blight; b) Clear acquired property and install streets, utilities, and site improvements for uses in accordance with the redevelopment project; c) Sell or lease acquired land for uses in accordance with the redevelopment plan; and, d) Installation of public infrastructure improvements, including pedestrian lighting, that improve pedestrian and transit rider safety. V. Funding Availability Hennepin County Capital Bond Funds are the source of funding for this program. Funding can be made available in the form of grants and loans. Hennepin County may offer either grants or loans to approved applicants. Grant funds are provided on a reimbursement basis only. Grantees will only be reimbursed for actual costs as approved in the grant application and subsequent negotiated work programs and contracts. Loan funds may be made with negotiated rates and terms. Loans may require execution of loan agreements, promissory notes and security agreements. VI. Application Selection and Approval Process Applications will be reviewed by the Hennepin County Department of Housing, Community Works and Transit and approved by Hennepin County and the HCHRA Hennepin County Boards in the fall of 2007. Funding will be available in January 2008. Selection criteria include, but are not limited to: • Extent to which projects are directly adjacent to transit stops along Hennepin County Transit Corridors; • Extent to which projects increase density near Transit Corridors; • Extent to which projects increase ridership of transit services; • Extent to which projects leverage other public and private resources. The review process will also consider: • Extent to which site design connects building entrance(s) to functional, ADA approved sidewalks, intersections and/or trails leading to bus or LRT stop. • Extent to which pedestrians or bicyclists would access the transit system from the proposed development, and the walking or bicycling distance to nearest transit stop(s). VII. Application Submittal and Procedures Submittal Deadline: February 22, 2007 - 4:00 p.m. • Completion of application with accompanying applicant Resolutions. Submit one original application and four copies. VIII. Program Contact Potential applicants are encouraged to review projects with Mr. Connoy prior to submittal. Patrick R. Connoy Economic Development Project Coordinator Hennepin County Housing, Community Works and Transit 417 North Fifth Street, Suite 320 Minneapolis, MN 55401-1362 612-348-2215 • 612-348-9710 (fax) patrick.connoy a-,co.hennepin.mn.us IX. Limitations: Under Minnesota law, data submitted by a business to a government entity in response to a request for proposal are private or nonpublic until the responses are opened. Once the responses are opened, the name of the proposer becomes public. All other data in a proposer's response to a request for proposal are private or nonpublic data until completion of the evaluation process. Completion of the evaluation process means that the government entity has completed negotiating the contract with the selected proposer. After a government entity has completed the evaluation process, all remaining data submitted by all proposers are public with the exception of trade secret data as defined and classified in Minnesota Statute Section 13.37. A statement by a proposer that data are copyrighted or otherwise protected does not prevent public access to the data contained in the response if such data does not qualify as trade secret data. This application does not commit Hennepin County or the HCHRA to pay any costs incurred in the preparation of a proposal for this application. Hennepin County and the HCHRA reserve the right to accept or reject any or all proposals received as a result of this application, to negotiate with all qualified proposers, to use any or all proposer ideas and/or approaches presented, or to cancel in part or in its entirety this application, if it is the best interest of Hennepin County and the HCHRA to do so. Hennepin County and the HCHRA may require the entities selected to participate in negotiations to submit any fiscal, technical, or other revisions of their proposals that may result from negotiations. 4