07-25-06 Regular
HOUSING AND REDEVELOPMENT
AUTHORITY MEETING MINUTES
Richfield, Minnesota
Special Meeting
July 25, 2006
The meeting was called to order by Chair Sandahl at 4:50 p.m.
HRA Members
Present:
Sue Sandahl; Martin Kirsch; Joan Heimberger; and David Gepner.
HRA Members
Not Present:
Donna Drummond (excused absence).
Staff Present:
Steve Devich, Executive Director; Bruce Palm borg, Community
Development Director; Pat Smith, Community Development Manager;
Bruce Nordquist, Housing & Redevelopment Manager; Nancy Gibbs, City
Clerk; and Corrine Thomson, Assistant HRA Attorney.
Item #1
Community Development Manager Smith presented Staff Report No. 51.
Attorney Thomson explained that the Johnsons had signed the settlement agreement on
the wrong page. The Johnsons signed the signature line for Exhibit B rather then the signature
page for the correct agreement.
Attorney Thomson stated her belief that the Johnsons had intended to sign the amended
stipulation and accept the terms. The Johnsons' attorney had told Attorney Thomson that he was
sending the signed agreement to her.
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July 25, 2006
Chair Sandahl asked Attorney Thomson what would happen if the Johnsons did not re-sign
the correct page of the agreement.
Attorney Thomson stated the HRA could enforce this settlement based on the existing
signatures, because of the Johnsons' expressed intention to accept the settlement proposal. She
also stated that she did not expect there to be any problems in obtaining new signatures.
M/Helmberger, S/Gepner that the followino 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. 992
APPROVING AMENDMENT TO SETTLEMENT OF EMINENT DOMAIN PROCEEDING
Motion carried 4-0. This HRA Resolution appears as HRA Resolution No. 992.
Item #2
Community Development Manager Smith presented Staff Report No. 52.
M/Kirsch, S/Gepner that the followino 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. 993
RESOLUTION AUTHORIZING SALE OF REAL PROPERTY
TO RYAN COMPANIES US, INC.
Motion carried 4-0. This HRA Resolution appears as HRA Resolution No. 993.
Item #3
Attorney Thomson explained technical modifications to the escrow agreement.
Attorney Thomson recommended that the HRA approve modifications to the First
Agreement in the alternative. The first alternative would be to approve the proposed First
Amendment as presented at the meeting, if the Johnsons signed the stipulation. The second
alternative would be that, if the Johnsons did not sign the stipulation, the HRA would approve the
First Amendment with the exception that the phrase "and possession to" would be removed from
paragraph 5(a) of the proposed First Amendment.
Chair Sandahl asked Attorney Thomson what is the affect of that.
Attorney Thomson responded that if the Johnson stipulation was not signed, the Johnsons
would have until November 1 to move out, rather than September 30. She indicated that the HRA
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July 25, 2006
should not agree to deliver title and possession of the Johnson property by September 30 unless
the HRA knew it could require the Johnsons to move by September 30.
Attorney Thomson continued to explain that she fully expected that the HRA would be able
to get the Johnson stipulation signed.
M/Kirsch, S/Gepner to accept the chanaes as presented toniaht. however to add
alternatives 1 and 2 which include approvina the proposed First Amendment as presented at the
meetina if the Johnsons sian the stipulation; and if the Johnsons did not sian the stipulation. the
HRA would approve the First Amendment with the exception that the phrase "and possession to"
would be removed from paraaraph 5(a) of the proposed First Amendment.
Motion carried 4-0.
Item #4
Executive Director Devich presented Staff Report No. 53.
Executive Director Devich renegotiated agreement at 100% of repayment of HRA mortgage
for this property.
M/Gepner, S/Helmberger to approve the reneaotiated Assianment of Mortaaae for 7445
10th Avenue to C & M Real Estate Services. Inc.
Motion carried 4-0.
The meeting was adjourned by unanimous consent at 5: 1 0 p.m.
Date Approved: AUgUR" 11. 1006
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Nancy G~
City Clerk