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08-15-1983HOUSING AND REDEVELOPMENT AUTHORITY CITY OF RICHFIELD, MINNESOTA REGULAR MEETING August 15, 1983 The Housing and Redevelopment Authority of the City of Richfield met in regular session in the council chambers of the city hall on Monday, August 15, 1983. The meeting was called to order by Vice Chairman Vern Luettinger. Present: Hassenstab, Helmberger, Ludeman, Luettinger Absent: Harms 1. Opportunity for Residents to Address the HRA No one wished to speak. 2. Proposed Vo-Tech Rehabilitation Protect Within the Area Bounded by Rae Drive, 66th Street and Coach Homes Acting Excecutive Director Tom Morgan introduced this item and described the two plans which had been prepared for consideration by the HRA for this redevelopment. Community Development Director Dennis Kraft made a presentation regarding. the plans presented with the staff report and noted that if the property at 910 West 66th Street is rezoned, the western boundary would need to be screened from the new housing. Mr. Kraft indicated staff is seeking direction from the HRA to proceed with the "Plan A" concept presented this evening. Acting Executive Director Morgan stated that this was a unique opportunity to upgrade a deteriorated area and that surplus CDBG funds have been recommended for allocation by Hennepin County for use on this project. Questions followed regarding potential redevelopment of other properties in the block, if the rezoning is not approved by the city council. Several members of the HRA commented in favor of considering this idea. Discussion followed concerning potential financing for such a project. It was stated that it is uncertain as to whether or not sufficient funding could be available to finance an expanded project since the project as planned requires additional financing through the county. HRA Regular Meeting Minutes -2- August 15, 1983 It was noted that Hennepin County action concerning the surplus CDBG funding is expected on August 30. Staff suggested going ahead on the rehabilitation project as proposed and examining what might be suitable for the other two parcels, 910 West 66th Street, and 901-03 Rae Drive, Commissioner Hassenstab made comments concerning the availability of financing for Plan A and the amount of time required for its completion. He also asked whether other projects would have to be postponed in order to accomplish this development. Bruce Palmborg commented that projects would not have to be postponed, since redevelopment on West 66th Street is being accomplished through funding normally allocated to the Vo-Tech Rehab Program.. Vice Chairman Luettinger asked for comments from the audience. Dr. David Elasky, owner of 910 West 66th Street, commented on the affect of his planned use of the property at 910 West 66th Street and stated that he believed expansion of the project would be costly. He also commented on the availability of property at 916 West 66th Street and its likely cost to the HRA. Anne Burkhardt, 921 Rae Drive, stated that she would like for the block to remain in residential uses. Betty Carr, 6633 Lynwood Boulevard, stated that she would like the block treated as one parcel and believed the concepts discussed by the HRA this evening for expanding the rehabilitation project were headed in the right direction. James Howard, 915 Rae Drive, said he also believed the HRA is moving in the right direction and believed the project should be started as soon as possible. Motion by Ludeman, seconded by Hassenstab to proceed with "Plan A", as outlined to the HRA this evening; and that the following resolution be adopted; that it be spread in the resolution book and that it be made a part of these minute RESOLUTION N0. 226 RECOMI~NDATION RELATING TO DEVELOPMENT WITHIN THE AREA BOUNDED BY 66TH STREET, RAE DRIVE, AND COACH HOMES HRA Regular Meeting Minutes -3- Poll of votes: Ayes - Hassenstab, Helmberger, Ludeman, Luettinger. August 15, 1983 Nays - None. Absent - Harms. Carried. This resolution appears as Resolution No. 226 in Resolution Book No. 2. The HRA requested the staff to examine the possibility of expanding the rehabilitation of residential property in this area and also followup with Hennepin County to make sure that surplus CDBG funds would continue to be available for the project. 3. Public Hearing Regarding the Sale of Property at 6822 Queen Avenue Community Development Director Dennis Kraft made a presentation regarding the sale of the rehabilitated property at 6822 Queen Avenue South and indicated that FHA 203B financing would likely be used for the sale. He indicated Chat a family presently renting a home in Richfield appears to qualify for the purchase 1 of the property. Comments followed from Commissioners concerning the need to note in the resolution the amount due to the HRA within the resolution - $22,500. It was indicated that this amount would constitute the second mortgage to the HRA. City Attorney John Dean indicated that if the FHA had arrived at the total value, then it could be included in the resolution. Commissioner Ludeman suggested including a reference to the amount of repayment to the HRA in the event that the property is sold. Motion by Ludeman, seconded by Hassenstab to close the public hearing. All ayes - Carried. Absent - Harms. Motion by Ludeman, seconded by Hassenstab that the following resolution be adopted, as amended; that it be spread in the resolution book-and that it be made a part of these minutes: HRA Regular Meeting Minutes -4- August 15, 1983 RESOLUTION N0. 227 RESOLUTION AUTHORIZING SALE OF PROPERTY AT 6822 QUEEN AVENUE SOUTH Poll of votes: Ayes - Hassenstab, Helmberger, Ludeman, Luettinger. Nays - None. Absent - Harms. Carriedo This resolution appears as Resolution No. 227 in Resolution Book No. 2. 4. Claims and Payrolls Motion by Ludeman,_second by I~assenstab to approve the following claims and payrolls: SUMMIT STATE BANK Checks 4899J5083 $1,763,865.51 All ayes - Carried. Absent - Harms. 5. Adjournment Motion by Ludeman, second by Luettinger that the meeting of the HRA adjourn. All ayes - Carried. Absent - Harms. Time: 9:05 p.m. Date Approved: September 19, 1983 -~ J n Helmberger Secretary Vern Luettinger a Chairman