Loading...
HomeMy WebLinkAbout2643-22 - ADMIN Ordinance - City Council - 2022/02/22Ordinance No. 2643-22 Ordinance establishing the Bridgewalk Condominium Homeowners’ Association Housing Improvement Area pursuant to Minnesota Statutes, Sections 428A.11 to 428A.21 The City of St. Louis Park does hereby ordain: Section 1. Recitals. 1.01. The City of St. Louis Park (the "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 City Council of the city (the “council”) adopted a Housing Improvement Area policy on July 16, 2001 (the “HIA Policy”). 1.03. The city has determined a need to establish the Bridgewalk Condominium Homeowners’ Association Housing Improvement Area (Bridgewalk HIA) as further defined herein, in order to facilitate certain improvements to property known as Bridgewalk Condominium, all in accordance with the HIA Policy. 1.04. The city has consulted with the Bridgewalk Condominium Owners’ Association (the “Association”) and with residents in the proposed Bridgewalk HIA regarding the establishment of the Bridgewalk HIA 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 and with the city’s HIA Policy, owners of at least 70 percent of the housing units within the proposed Bridgewalk HIA have filed a petition with the City Clerk requesting a public hearing regarding the establishment of the Bridgewalk HIA. 2.02. In accordance with Section 428A.13 of the Act, the council held a duly noticed public hearing on February 7, 2022 regarding adoption of this ordinance, at which all persons, including owners of property within the proposed Bridgewalk HIA, were given an opportunity to be heard. 2.03. The council finds that, without establishment of the Bridgewalk HIA, the Housing Improvements (as hereinafter defined) could not be made by the Association or the owners of housing units within the Bridgewalk Condominium. 2.04. The council further finds that designation of the Bridgewalk HIA is needed to maintain and preserve the housing units within such area. 2.05. The council further finds that by Resolution No. 22-029 adopted on the date hereof (the “Fee Resolution”), the city has provided full disclosure of public expenditures, loans, or other DocuSign Envelope ID: 4786D94E-6265-4020-8890-9C81E4EEAE17 Ordinance No. 2643-22 2 financing arrangements in connection with the Bridgewalk HIA, and has determined that the Association will contract for the Housing Improvements. 2.06. The city will be the implementing entity for the Bridgewalk HIA and the Housing Improvement Fee (as set forth in the Fee Resolution and Section 5 below). 2.07. The council finds that the Bridgewalk HIA meets each of the approval criteria contained in the HIA Policy (listed as 4.01A- 4.01N), including the criterion that a majority of the association owners support the project and the financing thereof. The 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 Bridgewalk HIA is hereby defined as the area of the city legally described in Exhibit A attached hereto. 3.02. The Bridgewalk HIA contains 92 housing units as of the date of adoption of this ordinance, along with underground garage and common areas. Section 4. Housing Improvements Defined. 4.01. For the purposes of this ordinance, the Fee Resolution, and the Bridgewalk HIA, the term "Housing Improvements" shall mean the following improvements to housing units and common areas within the Bridgewalk HIA: Exterior building elements, including flat roofs over portion of pool area, north and south buildings; main entry improvements; balconies; exterior siding. Interior building elements, including lobby vestibule; elevator improvements; common area carpeting and paint; unit hallway doors; locker rooms renovation; party/community room renovation. Building service elements, including electrical panel in boiler room; security systems upgrade; common area air handling units; hot water boilers and storage tank; boi ler room upgrades; life safety system. Pool elements, including west wall replacement; pool refurbishment (pool & hot tub interiors plus deck); pool equipment; pool HVAC. Garage elements, including lighting, waterproofing; wall paint; ceiling cleaning; exhaust and heating systems. Property site elements, including asphalt (mill & overlay); concrete bridge at southwest corner of building; concrete ramps and aprons; privacy fences between unit patios; courtyard/patio improvements. Unit elements constituting Limited Common Elements, including unit windows and patio doors (low-E glass) 4.02. The Housing Improvements shall also be deemed to include: (a) all administration, legal and consultant costs in connection with the Bridgewalk HIA; (b) costs of arranging financing for the Housing Improvements under the Act; and DocuSign Envelope ID: 4786D94E-6265-4020-8890-9C81E4EEAE17 Ordinance No. 2643-22 3 (c) interest on the internal loan as described in Section 6.01. Section 5. Housing Improvement Fee. 5.01. The city may, by resolution adopted in accordance with the petitions, hearing and notice procedures required under Section 428A.14 of the Act, impose a fee on the housing units within the Bridgewalk HIA, at a rate, term or amount sufficient to produce revenues required to finance the construction of 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 on housing units in the Bridgewalk HIA based on square footage (percentage of undivided ownership) as prescribed in Exhibit A to the Bridgewalk Condominium Declaration. 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 Fee Resolution. 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 Fee Resolution setting the Housing Improvement Fee, in the manner specified in such resolution. Section 6. Housing Improvement Area Loan and Bonds. 6.01. At any time after a contract with the 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 without interest of the Housing Improvement Fee has begun as described in Section 5.04 hereof, the council may begin disbursement to the Association of the proceeds of an internal loan (the “Loan”) of available city funds in the principal amounts necessary to finance all or a portion of the cost of the Housing Improvements that have not been prepaid, together with administrative costs. 6.02. In addition to the Loan, at any time after the period for prepayment without interest of the Housing Improvement Fee has ended, the City may issue its bonds secured by Housing Improvement Fees, as authorized pursuant to Section 428A.16 of the Act, in a principal amount necessary to finance the portion of the cost of the Housing Improvements not financed through the Loan. Section 7. Annual Reports. 7.01. No later than August 15, 2023, and each August 15 thereafter until there are no longer any outstanding obligations issued under the Act in connection with the Bridgewalk HIA, the Association (and any successor in interest) shall submit to the City Clerk a copy of the Association’s audited financial statements. DocuSign Envelope ID: 4786D94E-6265-4020-8890-9C81E4EEAE17 Ordinance No. 2643-22 4 7.02. The 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 the Association and the city, or as the city may request. 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 Bridgewalk HIA: 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 45 percent of the housing units within the Bridgewalk HIA 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. This ordinance shall take effect 45 days after adoption hereof . Reviewed for administration: Adopted by the City Council February 22, 2022 Kim Keller, city manager Jake Spano, mayor Attest: Approved as to form and execution: Melissa Kennedy, city clerk Soren Mattick, city attorney First reading February 7, 2022 Second reading February 22, 2022 Date of publication March 3, 2022 Date ordinance takes effect April 9, 2022 DocuSign Envelope ID: 4786D94E-6265-4020-8890-9C81E4EEAE17 Ordinance No. 2643-22 5 Exhibit A to Ordinance No. 2643-22 Legal description That part of Lots 1 and 2, Block 5, Shelard Park, lying westerly of a line drawn from a point on the Northerly line of said Lot 1, distant 32.5 feet easterly of the most Westerly corner thereof, to a point on the Southerly line of said Lot 2, distant 32.5 feet westerly of the most Easterly corner thereof; and lying easterly of a line drawn from a point on the Northerly line of said Lot 2, distant 153.75 feet easterly of the Northwesterly corner of said Lot 2, to a point on the curved Southeasterly line of said Lot 2, an arc distance of 72.47 feet northeasterly from the most Southerly corner thereof. DocuSign Envelope ID: 4786D94E-6265-4020-8890-9C81E4EEAE17