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04-20-09 Regular HOUSING AND REDEVELOPMENT AUTHORITY MEETING MINUTES Richfield, Minnesota Regular Meeting April 20, 2009 CALL TO ORDER The meeting was called to order by Vice Chair Gepner at 7:00 p.m. ROLL CALL HRA Members Present: David Gepner, Vice Chair; Joan Helmberger; Doris Rubenstein; and Steven Quam. HRA Members Absent: Sue Sandahl. Staff Present: Steven L. Devich, Executive Director; John Stark, Community Development Director; Karen Barton, Assistant Community Development Director; and Nancy Gibbs, City Clerk. Item #1 HRA APPROVAL OF MINUTES Commissioner Quam amended the Regular HRA Meeting Minutes of March 16, 2009. Included in Item #5 should be “Commissioner Quam asked about what provisions are in this agreement to assure that the program be used for those who do not qualify for the federal programs.” M/Quam, S/Helmberger to approve the minutes of (1) Regular HRA Meeting of March 16, 2009 as amended. Motion carried 4-0. HRA APPROVAL OF AGENDA Item #2 2- HRA Meeting - April 20, 2009 M/Rubenstein, S/Quam to approve the agenda. Motion carried 4-0. Item #3 CONSIDERATION OF ACCEPTING URBAN LAND INSTITUTE HOUSING AUDIT REPORT AND FINDINGS S.R. NO. 12 Assistant Community Development Director Barton presented Staff Report No. 12. Cathy Bennett, Bennett Community Consulting, presented the Urban Land Institute Housing Audit Report. Vice Chair Gepner thanked Ms. Bennett for a job well done. Commissioner Rubenstein congratulated Ms. Bennett for presenting such a thorough report. Commissioner Quam asked Ms. Bennett what is her recommendation on importance. Ms. Bennett suggested that a work plan be put together. She stated the communications part is very important and suggested focusing on apartment renovation. M/Rubenstein, S/Helmberger to approve acceptance of Urban Land Institute Housing Audit Report and Findings. Motion carried 4-0. Item #4 CONSIDERATION OF CHANGE TO HRA SUBORDINATION AND SATISFACTION POLICY FOR FORECLOSURE PURCHASE INCENTIVE PROGRAM LOANS S.R. NO. 13 Community Development Director Stark presented Staff Report No. 13. After much discussion by commissioners, the HRA recommended changing the policy to use 50% of the money to offset the loan to value ratio. Community Development Director Stark stated that staff will return in May or June with a chart to show loans and how it is working. M/Gepner, S/Helmberger to approve change to HRA subordination and satisfaction policy for Foreclosure Purchase Incentive Program loans. Motion carried 4-0. CONSIDERATION OF AUTHORIZING CONSULTANT SERVICES AGREEMENT Item #5 WITH GREATER METROPOLITAN HOUSING CORPORATION S.R. NO. 14 3- HRA Meeting - April 20, 2009 Assistant Community Development Director Barton presented Staff Report No. 14. M/Quam, S/Rubenstein to approve authorizing consultant services agreement with Greater Metropolitan Housing Corporation for 2009. Motion carried 4-0. CONSIDERATION OF SUBORDINATION REQUEST OF HRA TRANSFORMATION Item #6 HOME LOAN AT 7121 OAK GROVE BOULEVARD S.R. NO. 15 Assistant Community Development Director Barton presented Staff Report No. 15. Commissioner Quam stated he is comfortable with an 80% loan to value ratio and will oppose this particular subordination. M/Rubenstein, S/Gepner to approve subordination request of HRA Transformation Home Loan at 7121 Oak Grove Boulevard. Motion carried 3-1. (Quam oppose) CONSIDERATION OF FORECLOSURE PURCHASE INCENTIVE PROGRAM DOW- Item #7 PAYMENT ASSISTANCE LOAN AGREEMENT BETWEEN HRA AND PAUL SENKYR FOR PURCHASE OF 6514 – 12TH AVENUE S.R. NO. 16 Assistant Community Development Director Barton presented Staff Report No. 16. M/Helmberger, S/Quam to approve Foreclosure Purchase Incentive Program down- payment assistance loan agreement between HRA and Paul Senkyr for purchase of 6514 – 12th Avenue subject to the outstanding loan to value ratio requirements of the subordination policy. Motion carried 4-0. CONSIDERATION OF FORECLOSURE PURCHASE INCENTIVE PROGRAM DOW- Item #8 PAYMENT ASSISTANCE LOAN AGREEMENT BETWEEN HRA AND JUAN KOSAR FOR PURCHASE OF 6226 WASHBURN AVENUE S.R. NO. 17 Assistant Community Development Director Barton presented Staff Report No. 17. M/Quam, S/Rubenstein to approve Foreclosure Purchase Incentive Program down- payment assistance loan agreement between HRA and Juan Kosar for purchase of 6226 Washburn Avenue subject to the applicant meeting subordination policy requirements and staff not bringing application back to HRA if applicant does not meet those requirements. Motion carried 4-0. 4- HRA Meeting - April 20, 2009 CONSIDERATION OF FORECLOSURE PURCHASE INCENTIVE PROGRAM Item #9 REHABILITATION LOAN AGREEMENT BETWEEN HRA AND TEDD HERMAN AND JENNA LINDEMAN FOR REHABILITATION OF 7233 – 10TH AVENUE S.R. NO. 18 Assistant Community Development Director Barton presented Staff Report No. 18. The HRA consensus was that this loan application will have to meet the same criteria as the previous applicants. M/Gepner, S/Quam to approve Foreclosure Purchase Incentive Program rehabilitation loan agreement between HRA and Tedd Herman and Jenna Lindeman for rehabilitation of 7233 – 10th Avenue subject to the applicant meeting subordination policy requirements and staff not bringing application back to HRA if applicant does not meet those requirements. Motion carried 4-0. Item #10 EXECUTIVE DIRECTOR REPORT None. Item #11 CLAIMS AND PAYROLL Executive Director Devich stated that the Claims and Payroll will be sent to the HRA via e- mail on the day of regular meetings for their review before voting on it at the meeting. M/Helmberger, S/Quam that the following claims and payrolls be approved: U.S. Bank 04-20-2009 Section 8 Checks: 116756 – 116896 $ 167,773.64 HRA Checks: 30532 - 30556 $ 47,271.31 TOTAL $ 215,044.95 Motion carried 4-0. ADJOURNMENT The meeting was adjourned by unanimous consent at 9:12 p.m. HRA Meeting Date Approved: May 18, 2009 -5- /~ ,/` ' ~/ April 20, 2009 Da Nancy Gibbs City Clerk ~,/• Devich Executive Director