HomeMy WebLinkAbout2652-22 - ADMIN Ordinance - City Council - 2022/06/20SA140\139\773928.v3
Ordinance No. 2652-22
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 and the Act.
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 June 6, 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. 22-092 adopted on the date hereof
(the “Fee Resolution”), the city has provided full disclosure of public expenditures, loans, or other
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Ordinance No. 2652-22 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.
2.08 In accordance with Section 428A.13, subd. 1a(2) of the Housing Improvement Act, the
City Council determines that the Association will contract for construction of the Housing
Improvements.
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 improvements to, replacement of or repair of flat
roofs over portion of pool area, north and south buildings and vestibule; main entry
improvements including but not limited to an ADA access ramp at main entrance ;
balconies; exterior siding; masonry; common area windows and doors.
Interior building elements, including improvements to the lobby vestibule and doors;
elevator improvements; common area carpeting and paint; unit hallway doors; locker
rooms renovation; party/community room renovation .
Building service elements, including improvements to, replacement of or repair of
electrical panel in boiler room; upgrade control system for heating boilers. security
systems upgrade; common area air handling units; hot water boilers and storage tank;
boiler 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 improvements to, replacement of and repair to lighting,
waterproofing; wall paint; ceiling cleaning; exhaust and heating systems.
Property site elements, including improvements to retaining walls. 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)
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Ordinance No. 2652-22 3
Additional Improvements: Should there be additional HIA funds left over after all
proposed improvements are complete, the Association may use the remaining funds for
the following additional improvements: an overhaul of the south elevator, upgrades to
the life safety system, paint stairwells and replace stairwell railings, and replace the
concrete ramps to the parking garages.
4.02. The 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 hereof;
(b) all administration, legal and consultant costs in connection with the
Bridgewalk HIA; including without limitation all costs related to financing or issuance of
bonds, if any;
(bc) costs of arranging financing for the Housing Improvements under the Act,
including without limitation costs associated with the issuance of any general obligation
bonds to finance the Housing Improvement; and
(cd) 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 based on actual financing terms, 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
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Ordinance No. 2652-22 4
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. The Loan will be repayable from the Housing Improvement Fee paid by unit
owners, all in accordance with the Council resolution imposing the Housing Improvement Fee.
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. Such financing shall be issued pursuant to and in accordance with Section
428A.16 of the Act.
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.
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. Prior Ordinance.
10.01. This ordinance amends, replaces and supersedes Ordinance No. 2643-22 for
the Bridgewalk HIA adopted on February 22, 2022.
Section 1011. This ordinance shall take effect 45 days after adoption hereof subject to the
veto rights of housing unit owners under Section 428A.18 of the Housing Improvement Act .
First reading February 7 June 6, 2022
Second reading February 22 June 20, 2022
Date of publication March 3 June 30, 2022
Date ordinance takes effect April 9 August 4, 2022
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Ordinance No. 2652-22 5
Reviewed for administration: Adopted by the City Council June 20, 2022
Kim Keller, city manager Jake Spano, mayor
Attest: Approved as to form and execution:
Melissa Kennedy, city clerk Soren Mattick, city attorney
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Ordinance No. 2652-22 6
Exhibit A to Ordinance No. 2652-22
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 Lot2,
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.
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