Adopt Resolution #25-282 Approving an Amended and Restated Development Agreement (Zero Zone)

The purpose of this case is to consider approval of the Amended and Restated TIF Development Agreement with Zero Zone Refrigeration, LLC.  Zero Zone has requested the City amend the TIF Agreement to allow for property value challenges through the tax petition process to protect itself against unreasonable valuation increases by Anoka County.  The language drafted by TAFT law is similar to language used with the Affinity at the COR Apartment project, but provides more protection for the City and it prohibits Zero Zone from challenging the tax assessed value from 2034 through termination of the district (last 3 years).  This language ensures that Ramsey taxpayers will not end up paying for any TIF shortfall out of the City General Fund in the event that a value reduction is awarded to Zero Zone.  TAFT law has drafted the attached Amended and Restated Development Agreement and recommends approval.

 

Staff is supportive of the request by Zero Zone Refrigeration, LLC to amend the TIF Development Agreement.  Only tax increment, authorized in a Pay-Go Note, will be provided to the developer and the language drafted by TAFT Law presented for consideration by the Council protects the Ramsey Taxpayers from re-payment of any TIF shortfall due to property valuation fluctuations of tax petitions.

Alternatives Include:
1) Motion to Adopt Resolution #25-282 Approving an Amended and Restated Development Agreement (Zero Zone) ; subject to City TIF Attorney Review (as presented)
2) Motion to Adopt Resolution #25-282 Approving an Amended and Restated Development Agreement (Zero Zone); subject to City TIF Attorney Review (with changes)
3) Something Else

 

All Costs for this action are funded thought TIF District 19 and Escrow provided by Zero Zone Refrigeration, LLC

Staff recommends the following motion:

1) Motion to adopt Resolution #25-282 Approving an Amended and Restated Development Agreement (Zero Zone); subject to City TIF Attorney Review (as presented)

 

Motion Adopt Resolution #25-282 Approving an Amended and Restated Development Agreement (Zero Zone); subject to City TIF Attorney Review (as presented)