HomeMy WebLinkAbout2377-09 - ADMIN Ordinance - City Council - 2009/10/19ORDINANCE NO. 2377-09
ORDINANCE ESTABLISHING THE SUNSET RIDGE CONDOMINIUM
ASSOCIATION IMPROVEMENT AREA PURSUANT TO MINNESOTA
STATUTES, SECTIONS 428A.11 to 428A.21.
BE IT ORDAINED by the City Council of the City of St. Louis Park as follows:
Section 1. Recitals.
1.01. The City of St. Louis Park ("City") is authorized under Minnesota Statutes, Sections
428A.11 to 428A 21 (the "Act") to establish by ordinance a housing improvement area within which
housing improvements are made or constructed and the costs of the improvements are paid in whole or
in part from fees imposed within the area.
1.02. The St. Louis Park City Council ("Council") adopted a Housing Improvement Area
policy on July 16, 2001.
1.03. The City has determined a need to establish the Sunset Ridge Condominium Association
Housing Improvement Area as further defined herein, in order to facilitate certain improvements to
property known as the "Sunset Ridge Condominium Association"' all in accordance with the Housing
Improvement Area policy.
1.04. The City has consulted with the Sunset Ridge Condominium Association (the
"Condominium Association") and with residents in the proposed Sunset Ridge Condominium
Association Housing Improvement Area regarding the establishment of the Sunset Ridge
Condominium Association Housing Improvement Area and the housing improvements to be
constructed and financed under this ordinance.
Section 2. Findings.
2.01. The Council finds that, in accordance with Section 428A.12 of the Act, owners of at least
25 percent of the housing units within the proposed Sunset Ridge Condominium Association Housing
Improvement Area have filed a petition with the City Clerk requesting a public hearing regarding
establishment of such housing improvement area.
2.02. The Council has on October 5, 2009, conducted a public hearing, duly noticed in
accordance with Section 428A.13 of the Act, regarding adoption of this ordinance, at which all persons,
including owners of property within the proposed Sunset Ridge Condominium Association Housing
Improvement Area, were given an opportunity to be heard.
2.03. The Council finds that, without establishment of the Sunset Ridge Condominium
Association Housing Improvement Area, the Housing Improvements (as hereinafter defined) could not
be made by the condominium association for, or the housing unit owners in, the Sunset Ridge
Condominium Association.
2.04. The Council further finds that designation of the Sunset Ridge Condominium
Association Housing Improvement Area is needed to maintain and preserve the housing units within
such area.
Ordinance No 2377-09 -2-
2.05. The Council further finds that by Resolution No. 09-129 adopted on the date hereof,
the City has provided full disclosure of public expenditures, loans, bonds, or other financing
arrangements in connection with the Sunset Ridge Housing Improvement Area, and has determined
that the Sunset Ridge Condominium Association will contract for the Housing Improvements.
2.06. The City will be the implementing entity for the Sunset Ridge Condominium
Association Housing Improvement Area and the improvement fee.
2.07. The Council finds that the Sunset Ridge Condominium Association Housing
Improvement Area meets each of the approval criteria contained in the Housing Improvement Area
Policy (listed as 5.O1A- 5.01M), including the criterion that a majority of the condominium association
owners support the project and the Housing Improvement Area financing. The Condominium
Association presented evidence to the Council adequate to demonstrate that these criteria were met,
including presentation to the Council of the petitions described in 2.01 above.
Section 3. Housing Improvement Area Defined.
3.01. The Sunset Ridge Condominium Association Housing Improvement Area is hereby
defined as the area of the City legally described in Exhibit A.
3.02. The Sunset Ridge Condominium Association Housing Improvement Area contains 240
housing units as of the date of adoption of this ordinance, along with garage units and common areas
Section 4. Housing Improvements Defined.
4.01. For the purposes of this ordinance and the Sunset Ridge Condominium Association
Housing Improvement Area, the term "Housing Improvements" shall mean the following
improvements to housing units, garages, and common areas within the Sunset Ridge Condominium
Association Housing Improvement Area:
Exterior siding and trim will be replaced on all buildings. Windows and trim will be replaced. Entry
doors, trim and patio doors will be replaced. Soffits and fascia will be replaced. Garages will be resided
and new garage doors installed. Patios, decks and porches will be replaced as needed. Lighting will be
replaced. Miscellaneous vents, signs, mail slot will be replaced with minor electrical work as needed.
Water damage will be remediated. Lock boxes will be installed for emergency fire entrance.
4.02. Housing Improvements shall also be deemed to include:
(a) all costs of architectural and engineering services in connection with the activities
described in Section 4.01;
(b) all administration, legal and consultant costs in connection with the Sunset Ridge
Condominium Association Housing Improvement Area; and
(c) costs of arranging financing for the Housing Improvements under the Housing
Improvement Act; and
(d) interest on the internal loan as described in Sections 5.04 and 6.01.
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Ordinance No. 2377-09 -3-
Section 5. Housing Improvement Fee.
5.01. The City may, by resolution adopted in accordance with the petition, hearing and
notice procedures required under Section 428A.14 of the Act, impose a fee on the housing units within
the Sunset Ridge Condominium Association Housing Improvement Area, at a rate, term or amount
sufficient to produce revenues required to provide the Housing Improvements (hereinafter referred to as
the "Housing Improvement Fee''), subject to the terms and conditions set forth in this Section.
5.02. The Housing Improvement Fee shall be imposed for Common Elements based on the
square footage (percentage of undivided ownership) of each unit, and shall be imposed for Limited
Common Elements based on the actual cost of windows and doors for each unit, all as prescribed in the
Declaration Establishing a Plan For Apartment Ownership Pursuant to the Minnesota Uniform
Condominium Act for Sunset Ridge Condominium.
5.03. The Housing Improvement Fee shall be imposed and payable for a period no greater
than 20 years after the first installment is due and payable.
5.04. Housing unit owners shall be permitted to prepay the Housing Improvement Fee in
accordance with the terms specified in the resolution imposing the fee.
5.05. The Housing Improvement Fee shall not exceed the amount specified in the notice of
public hearing regarding the approval of such fee; provided, however, that the Housing Improvement
Fee may be reduced after approval of the resolution setting the Housing Improvement Fee, in the
manner specified in such resolution.
Section 6. Housing Improvement Area Loan.
6.01. At any time after a contract with the Condominium Association for construction of all
or part of the Housing Improvements has been entered into or the work has been ordered, and the
period for prepayment of the Housing Improvement Fee has begun as described in Section 5.04 hereof,
the Council may begin disbursement to the Condominium Association of the proceeds of an internal
loan (the "loan") of available City funds in the principal amounts necessary to finance the cost of the
Housing Improvements that have not been prepaid, together with administrative costs.
6.02. The City may refinance the loan or any unpaid portion of the loan at any time by
issuing its bonds secured by Housing Improvement Fees, as authorized pursuant to Section 428A.16 of
the Act.
Section 7. Annual Reports.
7.01. On March 1, 2011, and each March 1, thereafter until there are no longer any
outstanding obligations issued under the Act in connection with the Sunset Ridge Condominium
Association Housing Improvement Area, Sunset Ridge Condominium Association (and any successor
in interest) shall submit to the City Clerk a copy of the condominium association's audited financial
statements.
Ordinance No 2377-09 -4-
7.02. The Condominium Association (and any successor in interest) shall also submit to the
City any other reports or information at the times and as required by any contract entered into between
that entity and the City.
Section 8. Notice of Right to File Objections.
8.01. Within five days after the adoption of this ordinance, the City Clerk is authorized and
directed to mail to the owner of each housing unit in the Sunset Ridge Condominium Association
Housing Improvement Area: a summary of this ordinance; notice that owners subject to the proposed
Housing Improvement Fee have a right to veto this ordinance if owners of at least 35 percent of the
housing units within the Sunset Ridge Condominium Association Housing Improvement Area file a
written objection with the City Clerk before the effective date of this ordinance; and notice that a copy
of this ordinance is on file with the City Clerk for public inspection.
Section 9. Amendment.
9.01. This ordinance may be amended by the Council upon compliance with the public
hearing and notice requirements set forth in Section 428A.13 of the Act.
Section 10. Effective Date.
10.1. This ordinance shall be effective 45 days after adoption hereof
Read, approved and adopted and ordered published at a regular meeting of the City Council of
of St. Louis Park on October 19, 2009.
Re ew d r Administration:
City ana • er
Attest:
Adopted by -the City Council October 19, 2009
lr ;
Mayor //
ApprRved as to form and execution:
City Clerk d"-- City Attorney
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Ordinance No. 2377-09 -5-
EXHIBIT A TO ORDINANCE NO. 2377-09
Legal description
Lot 1, Block 1, FARRS SUNSET RIDGE, according to the plat thereof on file and of record in the
office of the County,Recorder in and for Hennepin County, Minnesota.
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newspapers
AFFIDAVIT OF PUBLICATION
STATE OF MINNESOTA )
) ss
COUNTY OF HENNEPIN )
Richard Hendrickson, being duly sworn on
an oath, states or affirms that he is the Chief
Financial Officer of the newspaper(s) known
as
St Louis Park Sun -Sailor
and has full knowledge of the facts stated
below
(A) The newspaper has complied with all of
the requirements constituting qualifica-
tion as a qualified newspaper as provid-
ed by Minn Stat §331A 02, §331A 07,
and other applicable laws as amended
(B) The printed public notice that is attached
was published in said newspaper(s)
once each week, for one successive
week(s), It was first published on Thurs-
day, the 29 day of October
2009, and was thereafter printed and
published on every Thursday to and in-
cluding Thursday, the ___ day of
2009, and printed
below is a copy of the lower case alpha-
bet from A to Z, both inclusive, which is
hereby acknowledged as being the size
and kind of type used in the composition
and publication of the notice
abcdefghijklmnopgrstuvwxyz
Subscribed and sworn to or affirmed
before me on this 29 day of
October , 2009
Notary Public
MARY ANN CARLSON
NOTARY PUBLIC — MINNESOTA
MY COMMISSION EXPIRES 1-31-14
City of St. Louis Park
(Official Publication)
SUMMARY
ORDINANCE NO 2377-09
ORDINANCE ESTABLISHING THE SUNSET RIDGE
CONDOMINIUM ASSOCIATION HOUSING
IMPROVEMENT AREA PURSUANT TO MINNESOTA
STATUTES, CHAPTER 428A 11 to 428A 21
This ordinance establishes the Sunset Ridge Condomini-
um Association Housing Improvement Area, which is the
area legally described on Exhibit A of the Ordinance, and
specifies the "Housing Improvements" that will be con-
structed in Sunset Ridge Condominium Association
Housing Improvement Area and financed with the Hous-
ing Improvement Fee
This ordinance provides that the City may impose a fee on
housing units in an amount sufficient to produce revenues
required to provide the Housing Improvements (the
' Housing Improvement Fee') The Housing Improvement
Fee is set by a separate City Council resolution, but the
ordinance lays out the ground rules on how the Housing
Improvement Fee will be determined Those rules are
summarized as follows
• The Housing Improvement Fee will be imposed for
Common Elements based on the square footage (per-
centage of undivided ownership) of each unit, and will
be imposed for Limited Common Elements based on
the actual cost of windows and doors for each unit
The Housing Improvement Fee may be prepaid ac-
cording to the terms set forth in the resolution
If the Housing Improvement Fee is not prepaid by
March 31, 2010, it will be payable over 20 years
The Housing Improvement Fee will be collected at the
same time and in the same manner as property taxes
The total Housing Improvement Fee for each unit may
not exceed the amount specified in the notice of pub-
lic hearing for the resolution imposing the Housing Im-
provement Fee
This ordinance provides that at any time after the City has
entered into a contract with the Sunset Ridge Condomini-
um Association for construction of the Housing Improve-
ments, or after work has been ordered, the Council may
begin disbursement to the Association of the proceeds of
(a) an internal loan of available City funds in the principal
amounts necessary to finance the cost of the Housing Im-
provements that have not been prepaid together with ad-
ministrative costs, or (b) bonds of the City secured by
Housing Improvement Fees Any internal loan will be re
financed through the issuance of bonds secured by Hous-
ing Improvement Fees This ordinance requires that Sun-
set Ridge Condominium Association submit audited fi-
nancial statements to the City each year while there are
outstanding obligations issued under the Act
This ordinance shall take effect 45 days after the October
19, 2009 date of adoption unless owners of at least 35
percent of the housing units in the Sunset Ridge Condo-
minium Housing Improvement Area file an objection with
the City Clerk prior to that effective date
Adopted by the City Council October 19 2009
Jeffrey W Jacobs /s/ Mayor
A copy of the full text of this ordinance is available for in
specbon with the City Clerk
Published in St Louis Park Sailor October 29, 2009
( Oct 29 2009)a3-ord 2377-09