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08-18-03 Regular HOUSING AND REDEVELOPMENT AUTHORITY MEETING MINUTES Richfield, Minnesota Regular Meeting August 18, 2003 The meeting was called to order by Chair Harms at 7:00 p.m. HRA Members Present: Thomas Harms; Joan Heimberger; and Dan Linnihan. HRA Members Not Present: Kristal Stokes; and Michael Sandahl. Staff Present: Steve Devich, Acting Executive Director; Bruce Palmborg, Community Development Director; John Stark, Community Development Manager; Chris Regis, Finance Manager; Nancy Gibbs, City Clerk; and John Dean, HRA Attorney. Item #1 M/Harms, S/Linnihan to approve the minutes of (1) Reoular HRA Meetino on June 16. 2003: (2) Concurrent Special HRAlCitv Council Meetino of Julv 8. 2003; and (3) Special HRA Meetino of Auoust 4. 2003. Motion carried 3-0. Item #2 M/Linnihan, S/Harms to approve the aoenda. HRA Meeting Minutes -2- August 18,2003 Motion carried 3-0. Item #3 A. Approved resolution amending HRA by-laws S.R. No. 45 HRA RESOLUTION NO. 899 RESOLUTION AMENDING THE BYLAWS OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF RICHFIELD, MINNESOTA This HRA Resolution appears as HRA Resolution No. 899 in HRA Resolution Book NO.7. B. Approved leasing HRA-owned property at 7601 Pleasant Avenue S.R. No. 46 C. Approved 2003-2004 contract with Julianne Schwietz to work with Livable Communities Team S.R. No. 47 D. Approved extending closing date for sale of land at 6833 and 6855 Penn Avenue to Penn Place Townhouses LLC for residential redevelopment S.R. No. 48 E. Approved resolution authorizing $855,000 internal loan for advance of public redevelopment costs in connection with Lyndale Gateway West Tax Increment Financing District S. R. No. 49 HRA RESOLUTION NO. 900 AUTHORIZING $855,000 INTERNAL LOAN FOR ADVANCE OF PUBLIC REDEVELOPMENT COSTS IN CONNECTION WITH L YNDALE GATEWAY WEST TAX INCREMENT FINANCING DISTRICT This HRA Resolution appears as HRA Resolution No. 900 in HRA Resolution Book NO.7. , F. Approved resolution authorizing execution of Tax Increment Pledge Agreement with City of Richfield relating to $6 million Taxable General Obligation Tax Increment Bonds S.R. No. 50 HRA RESOLUTION NO. 901 RESOLUTION AUTHORIZING EXECUTION OF TAX INCREMENT PLEDGE AGREEMENT WITH THE CITY OF RICHFIELD RELATING TO $6 MILLION TAXABLE GENERAL OBLIGATION TAX INCREMENT BONDS This HRA Resolution appears as HRA Resolution No. 901 in HRA Resolution Book NO.7. M/Linnihan, S/Helmberger to approve the Consent Calendar. Motion carried 3-0. HRA Meeting Minutes -3- August 18, 2003 Item #4 HRA Attorney Dean presented Staff Report No. 51 regarding consideration of administrative revisions to the First Amended and Restated Contract for Private Redevelopment for Lyndale Gateway, LLC. Mr. Dean explained there will be a City Council meeting on August 19, 2003 regarding the sale of the bonds for this project. M/Helmberger, S/Linnihan to authorize recommended administrative revisions to the First Amended and Restated Contract for Private Redevelopment with Lvndale Gatewav. LLC. Motion carried 3-0. Item #5 Finance Manager Regis presented an overview of the tax levy process. Commissioner Heimberger asked how the maximum levy is determined. Finance Manager Regis explained the calculations. Community Development Director Palmborg presented budget highlights of 2003 Revised and 2004 Proposed Budget. Chair Harms asked if staff has talked to any lenders in Richfield about partnering with the HRA on Richfield redevelopment and transformation loans as an interest buy down factor in a long- term basis? Community Development Director Palmborg stated that staff has not done so recently. Chair Harms suggested going to local banks to partner with the HRA. Commissioner Heimberger stated that staff did a very thorough job on the budget report. Larry Wozniczka, 6744 Wentworth Avenue, asked when calculating maximum taxable market value does that include all properties that are tax increment properties at this time? Finance Manager Regis explained the calculations. Larry Wozniczka, 6744 Wentworth Avenue, asked why aren't administrative funds from Best Buy being used to reduce the levy? Community Development Director Palmborg said next year would be the first year for using these revenues. 1/ HRA Meeting Minutes -4- August 18, 2003 Chair Harms also explained how funds are used for housing. Commissioner Heimberger asked about the status of redevelopment on the eastside? Is the HRA ready to clear north of 66th Street or 18th Avenue? Community Development Director Palmborg responded that staff is working with Ryan Companies, Inc. on a retail center and how to finance the redevelopment. It doesn't appear to be a viable TI F District. Chair Harms stated that staff has done a fine job. M/Helmberger, S/Linnihan 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. 902 RESOLUTION APPROVING PROPOSED 2004 HOUSING AND REDEVELOPMENT AUTHORITY BUDGET AND CERTIFYING THE 2003 TAX LEVY Motion carried 3-0. This HRA Resolution appears as HRA Resolution No. 902 in HRA Resolution Book NO.7. M/Linnihan, S/Helmberger 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. 903 RESOLUTION AUTHORIZING REVISION OF THE 2002 BUDGET OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF RICHFIELD Motion carried 3-0. This HRA Resolution appears as HRA Resolution No. 903 in HRA Resolution Book No.7. Item #6 No report. Item #7 M/Helmberger, S/Linnihan that the followino claims and pavroll be approved. FIRST AR BANK June 16. 2003 Section 8 Checks: 104715 -104829 HRA Checks: 26640 - 26675 $166,157.97 $692,862.19 HRA Meeting Minutes FIRSTAR BANK Julv 21. 2003 Section 8 Checks: 104830 - 104954 HRA Checks: 26676 - 26730 FIRSTAR BANK Auaust 18.2003 Section 8 Checks: 104955 - 105082 HRA Checks: 26731 - 26779 Motion carried 3-0. -5- August 18, 2003 $163,533.86 $451,732.88 $169,058.98 $367,247.94 The meeting was adjourned by unanimous consent Date Approved: September 15, 2003 \-flAJwv <JJJ~ Nancy Gibbs d City Clerk ~