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Prior Lake, MN 55372-1714
CITY COUNCIL AGENDA REPORT
MEETING DATE:
AGENDA #:
PREP ARED BY:
JANUARY 5, 2004
llB
DONALD RYE, COMMUNITY DEVELOPMENT DIRECTOR
AGENDA ITEM:
CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING
THE PAYMENT OF FA<;ADE IMPROVEMENT FUNDS TO
CARLSON HARDWARE COMPANY
DISCUSSION:
History In 2002, the City Council authorizes the use of up to $150,000
from Downtown TIF Account funds to fund a fayade improvement
prograI11 for the area covered by the Downtown zoning district. Since
then, staff has worked with several Downtown businesses to
implement the fayade improvement program. The use of these funds
has already been approved for three Downtown businesses ( Little
Lakers Montessori, Speiker building and The Hair Mate/Kapaun
Realty buildings). The aI110unts dedicated to each project are $33,000
to Little Lakers, $25,000 to Speiker Company mld $5,000 to Harry
Tupy for a total of $63,000. This leaves a balance of $87,000 that is
available for fayade improvements. If this request is approved, the
balance available will be reduced to $62,000.
Current Circumstances Carlson hardware has submitted an application
for assistance from the fayade improvement prograI11. The estimated
total cost of the project is $56,000. Program guidelines call for
reimbursement of half the cost of the improvement up to a maximum
of $25,000. In this case, half the project cost is $28,000 so the
maximum reimbursement would be $25,000
Staff has reviewed the plans for the project and has determined the
proposed improvements will meet the design criteria contained in the
Downtown zoning district and are therefore eligible for fayade
improvement funds. The project includes placement of a cultured stone
wainscot along the lower portion of the building similar to that placed
on the front of the Little Lakers building, covering the existing
concrete block with stucco and adding raised rooflines at the corners
of the building.
The 2020 Vision and Strategic Plan contains a Vision Element called
Downtown Redevelopment. The second item in this element is
"Implement partnering prograI11 with Downtown businesses to
L:\Community Dev\downtown facade-carlson cc report.~_iM900.a~lliW\1 facade\carlson ccreport.doc
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AL TERNA TIVES:
RECOMMENDED
MOTION:
REVIEWED BY:
facilitate building fayade improvements," The Tactical Action Plan
for 2004 to 2008 has two components directly related to this element.
One is to "Identify businesses for fayade improvement" and the other
is to "Wor1\: with identified businesses to complete fayade
improvements." Clearly. the requested action in this case is directly
related to, and in support of, these elements.
Issues The primary issue here is whether the City Council wishes to
provide the requested assistance. As noted above, the project is
consistent with the 2020 Vision and Strategic Plan and complies with
design guidelines for the Downtown.
As noted above, if this project is approved, a total of $62,000 will
remain available for fayade improvements. We have been contacted by
Fongs, Viking Liquor, Extra hmings and Conoco who have expressed
an interest in participating in the program. If all four parties applied for
funds, the existing balance would, in all likelihood, be oversubscribed.
The Council may wish to consider that Viking Liquor has not
submitted an application at this time and staff has been unable to
determine whether they intend to do so. Staff will continue to
encourage Viking Liquor to make an application so the improvements
to the two buildings are coordinated. However, Council may also wish
to make approval of this request conditional upon receipt of an
application from Viking Liquor. To date, none of the other requests
has been so conditioned.
Conclusion Staff has concluded the project for which assistance has
been requested meets the applicable criteria and recommends approval
of the requested funding.
The City Council has the following alternatives:
I. Approve the funding assistance as requested.
2. Approve a level of funding assistance different than the level
requested.
3. Deny the request for funding assistance.
4. Continue this case to a date certain.
Motion to approve attached resolution authorizing payment of fa<;ade
improvement funds to Carlson's Ace hardware.
L:\Community Dev\dowlltown facade\carlsoll cc report,docL:\ComlTIunJty Dev\downtown facade\carlson cc report,doc 2
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t!f1~/s. 16200 Eagle Creek Avenue S.L RESOLUTION 04-XXX
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\~ A RESOLUTION 'AUTHORIZING pAYMENT bFFACAbEIMPROVEMENT FUNDS
~INNESO~~ FOR DOWNTOWN REDEVELOPMENT
MOTION BY:
SECOND BY:
WHEREAS: On June 17th, 2002, the City Council adopted resolution 02-99 establishing a matching grant
program to encourage Downtown building fa(fade improvements and providing funds for the program, and
WHEREAS: The City Council has determined there is a need for a program of incentives to encourage
businesses in the Downtown area of the City to renovate building facades, and
WHEREAS: The City Council has determined such a program is in the public interest and serves a public
purpose by encouraging the revitalization of the Down town commercial area, and
WHEREAS: The City Council has adopted design guidelines for Downtown development in the City's zoning
ordinance, and
WHEREAS: Projects to be funded with the grant funds must be consistent with the design guidelines, and
WHEREAS: Carlson Hardware Company has applied for a grant not to exceed $25,000.00 and has submitted
plans to the City for their improvements, and
WHEREAS: The City has reviewed the plans for the improvements and has found them to be in compliance with
the design guidelines in the City's zoning ordinance and consistent with, and supportive of the appropriate
sections of the City's 2020 Vision and Strategic Plan, and
WHEREAS: There are adequate funds available to fund both applications.
THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF PRIOR LAKE,
MINNESOT A,
1. The recitals set forth above are incorporated herein.
2. The grant amounts of $25,000 for Carlson Hardware Company, is hereby approved.
3. The grant amounts are to be paid in an amount up to 50% of demonstrated costs related directly to fa(fade
construction. In any case, the amounts paid to the applicant shall not exceed the amount listed in 2. above.
The City shall reimburse the applicant for actual costs incurred as demonstrated by paid invoices, cancelled
checks, lien wavers or such other evidence of payment of eligible costs as the City in its sole discretion may
require.
Passed and adopted this 5th day of January, 2004.
YES NO
HAUGEN HAUGEN
BLOMBERG BLOMBERG
LEMAIR LEMAIR
PETERSEN PETERSEN
ZIESKA ZIESKA
{Seal} Frank Boyles, City Manager
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Prior Lake, MN 55372-1714
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CITY OF PRIOR LAKE
PRE-APPLICATION
FOR FINANCIAL ASSISTANCE
Legal name of applicant:
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Address:
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Telephone number:
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E-mail address:
Name of contact person:
A E I2...AJt-e
ell f. L.S. C) AJ
Type of financial assistance requested:
x
Tax Increment Financing
Tax Abatement
Cash Contribution
Low Interest Loan
Conduit Bonds
Fac;:ade Improvement
Other:
PROJECT INFORMATION:
The following information must accompany this Pre-Application.
1. A map showing the location of proposed development.
2. General description of the project including estimated cost, size and location of
building(s); business type or use; traffic infOlmation including parking, projected
vehicle counts and traffic flow; timing of the project; estimated market value
following completion.
3. Indicate the purpose and need for the requested financial assistance.
4. The existing Comprehensive Guide Plan Land Use designation and zoning of the
property. Include a statement as to how the proposed development will COnf0l111
to the land use designation and how the property is or will be zoned.
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5. A statement identifying the public benefits of the proposed project including
estimated increase in property valuation, new jobs to be created and other
community assets.
6. Background information on developer's company or corporation, including
principals, history and past projects.
Date:
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SIGNA TURE:
Applicant's Signature:
Title:
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