07-17-06 Regular
HOUSING AND REDEVELOPMENT
AUTHORITY MEETING MINUTES
Richfield, Minnesota
Regular Meeting
July 17, 2006
The meeting was called to order by Chair Sandahl at 7:00 p.m.
HRA Members
Present:
Sue Sandahl; Joan Heimberger; Martin Kirsch; Donna Drummond; and
David Gepner (arrived at 7:05 p.m.).
Staff Present:
Steve Devich, Executive Director; Bruce Palmborg, Community
Development Director; Pat Smith, Community Development Manager;
Nancy Gibbs, City Clerk; and John Dean, HRA Attorney.
Item #1
HRA Attorney Dean recommended to the HRA that they add an item to the agenda
regarding the matter of deed restrictions on property obtained using MAC funds, and at that part of
the agenda to continue this meeting until Friday, July 21.
M/Drummond, S/Helmbergerto approve the minutes of (1) Special HRA MeetinQ of June
26, 2006: (2) Continued Special HRA MeetinQ of June 30. 2006: and (3) Special HRA MeetinQ of
Julv 10. 2006.
Motion carried 4-0.
Item #2
M/Drummond, S/Helmberger to approve the aQenda as amended and add Item 11A.
HRA Meeting Minutes
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July 17, 2006
Motion carried 4-0.
Commissioner Gepner arrived at 7:05 p.m.
Item #3
Community Development Director Palmborg presented Staff Report No. 32.
Julianne Schweitz, Livable Communities, presented the proposed Intention Statement for
August 2006 to July 2007.
Commissioner Heimberger asked if this type of property is increasing in Richfield.
Ms. Schweitz responded yes, however this program will help assist people with a more
clear understanding of what is required of them and for them.
Commissioner Gepner asked how will people learn about this program.
Ms. Schweitz responded via their web site, newspaper and City Resource program.
M/Helmberger, S/Gepner to approve the execution of a Contract with Julianne Schweitz
beoinnino Auoust 1. 2006 for 12 months.
Motion carried 5-0.
Item #4
Community Development Director Palmborg presented Staff Report No. 33.
Chair Sandahl expressed concern that the HRA would only receive 60% of its mortgage in
this transaction. She further stated in the future the HRA should set aside reserve funds to buy
these foreclosed homes. The HRA could renovate them if needed, sell them and make money to
do more of the same.
M/Gepner, S/Drummond to approve the Assionment of Mortoaoe for 7445 10th Avenue to
C & M Real Estate Services. Inc.
Motion carried 5-0.
HRA Meeting Minutes
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July 17, 2006
Item #5
Community Development Director Palmborg presented Staff Report No. 34.
Commissioner Drummond suggested that the Sensible Land Use Coalition was meeting
this Wednesday and developers with projects there may be candidates for this development.
Chair Sandahl suggested CVS receive information regarding this site.
M/Kirsch, S/Helmberger to direct staff to pursue a "Request For Qualifications" with
developers for the northeast auadrant of 76th Street and Lvndale Avenue.
Motion carried 5-0.
Item #6
Community Development Director Palmborg presented Staff Report No. 35.
Mark Koegler, President of Hoisington, Koegler Group Inc., explained current work plan and
schedule of Penn Crossing neighborhood.
Commissioner Kirsch stated he sees needed improvement in this area and welcomes the
changes.
Commissioner Drummond suggested that the Planning Commission may be more
appropriate to select the committee.
Commissioner Kirsch stated that the students did a very good job.
M/Kirsch, S/Drummond to authorize the Penn Crossinos Neiohborhood Study.
Motion carried 5-0.
Item #7
Community Development Director Palmborg presented Staff Report No. 36.
Michael Schroeder, LHB Inc., was available for questions on technical aspects of the
project and he also described where changes will occur.
Commissioner Kirsch expressed his approval of the street lighting changes and how this
ties everything together.
HRA Meeting Minutes
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July 17, 2006
Commissioner Drummond stated this was good use of Met Council funds.
Commissioner Drummond also asked if signage could be placed to make people more
aware of the public area behind the building.
There was general consensus that the $28,293 amount not be returned to the redeveloper
in the proposal.
Commissioner Kirsch amended the motion to not return the $28,293 to the developer.
Tim Tuel, 6640 Lyndale Avenue Suite 110, owner of Ship Mate, asked if when looking at
the whole scheme of things to look at signage regarding parking in the back of the building and
across the street.
M/Kirsch, S/Gepner to request staff to formulate aQreements, discuss and secure feedback
about a work plan with affected resident associations and return to the HRA to finalize a proposal
with City Bella LLC.
Motion carried 5-0.
Item #8
Community Development Manager Smith presented Staff Report No. 37.
Larry Wozniczka, 6744 Wentworth Avenue, asked for a summary of what the City will
receive for this property.
HRA Attorney Dean explained the development agreement.
M/Kirsch, S/Gepner to close the public hearinQ.
Motion carried 5-0.
M/Gepner, S/Helmberger that the followinQ HRA resolution be adopted, that it be spread in
the HRA resolution book and that it be made part of these minutes:
HRA RESOLUTION NO. 987
RESOLUTION AUTHORIZING SALE OF REAL PROPERTY
TO RYAN COMPANIES US, INC.
Motion carried 5-0. This HRA Resolution appears as HRA Resolution No. 987.
HRA Meeting Minutes
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July 17, 2006
Item #9
Community Development Manager Smith presented Staff Report No. 38.
M/Kirsch, S/Helmberger that the followinQ HRA resolution be adopted. that it be spread in
the HRA resolution book and that it be made part of these minutes:
HRA RESOLUTION NO. 988
RESOLUTION REQUESTING THE CITY COUNCIL OF THE CITY OF RICHFIELD CALL
FOR A PUBLIC HEARING ON THE MODIFICATION OF THE RICHFIELD
REDEVELOPMENT PROJECT AREA AND THE ESTABLISHMENT OF THE
CEDAR AVENUE TAX INCREMENT FINANCING DISTRICT
(A REDEVELOPMENT DISTRICT)
Executive Director Devich explained the differences in the map. He stated that part of the
area is TIF, the result of special legislation in 2005, and the larger part is a tax abatement district.
Motion carried 5-0. This HRA Resolution appears as HRA Resolution No. 988.
Item #10
Community Development Manager Smith presented Staff Report No. 39.
Larry Wozniczka, 6744 Wentworth Avenue, asked what is the amount of the note and is the
City liable for this note.
HRA Attorney Dean responded that the note is for $2,068,700 and the note is payable to
the developer out of tax abatements that are generated by this project.
M/Drummond, S/Gepner that the followinQ HRA resolution be adopted. that it be spread in
the HRA resolution book and that it be made part of these minutes: .
HRA RESOLUTION NO. 989
RESOLUTION AUTHORIZING EXECUTION
AND DELIVERY OF TAXABLE LIMITED REVENUE NOTE AND
AUTHORIZING AMENDMENT TO ESCROW AGREEMENT
Motion carried 5-0. This HRA Resolution appears as HRA Resolution No. 989.
HRA Meeting Minutes
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July 17, 2006
Item #11
M/Sandahl, S/Kirsch to continue this item to be considered at our currentlv scheduled
Special HRA meetinQ of Julv 25.
Motion carried 5-0.
Item #11A
M/Kirsch, S/Gepner to continue this item to the Julv 21. 2006 Special HRA meetinQ at 8:00
a.m.
HRA Attorney Dean suggested to not adjourn tonight's meeting, but to continue until Friday,
July 21 at 8:00 a.m.
Motion carried 5-0.
Item #12
Executive Director Devich reported on the MAC meeting.
Executive Director Devich also asked the HRA for the opportunity to talk with C & M Real
Estate Services, Inc. regarding 7445 10th Avenue to see if he can secure a greater portion of the
HRA second mortgage.
The HRA Commission directed him to proceed.
Item #13
MlDrummond, S/Gepner that the followinQ claims and pavroll be approved.
u.s. Bank
Section 8 Checks: 110301 - 110446
HRA Checks: 29538 - 29570
$ 180,176.86
$ 106,843.45
Motion carried 5-0.
HRA Meeting Minutes
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July 17, 2006
At 8:45 p.m. by unanimous consent, the meeting was continued to Friday, July 21 at 8:00
a.m. in the Richfield City Hall Council Chambers.
~. )j);()
NanCy Gibbs --
City Clerk
Date Approved: Au~st 21, 2006