03-19-1990CITY OF RICHFIELD, MINNESOTA
HOUSING AND REDEVELOPMENT AUTHORITY MEETING
March 19, 1990
MEMBERS PRESENT: Joan Helmberger; Ivan Ludeman;
Vern Luettinger; and Edwina Garcia
(arrived at 7:21 p.m.).
MEMBERS ABSENT: Thomas Harms
STAFF PRESENT: James Prosser, City Manager; Thomas
Ferber, City Clerk; Byron Wallace,
Community Development Director; and Bruce
Palmborg, Housing and Redevelopment
Coordinator.
The meeting was called to order by Vice Chairperson
Luettinger at 7:06 p.m.
APPROVAL OF MINUTES
M/Ludeman, S/Helmberger to approve the minutes of the
Regular HRA Meeting of February 20, 1990.
Motion carried 4-0.
Item #1 OPPORTUNITY FOR CITIZENS TO ADDRESS THE CITY COUNCIL
ON ANY ITEM NOT LISTED ON THE AGENDA.
No one wished to address the council.
Item #2 EXECUTIVE DIRECTOR REPORT
Community Development Director Wallace reviewed the status
of the following:
1. New Ford Town - Response to the New Ford Town
Redevelopment concept has been very positive.
2. Rich Acres - A petition from property owners requesting
redevelopment has been received by the City Council.
The Planning Commission will be conducting a public
meeting on this issue on March 28.
3. PASSS - Discussions continue with a potential developer
with the main issues being density, tax increment, and
parking. Staff is reviewing the possibility of
utilizing Henning & Associates for HRA marketing
efforts.
Commissioner Garcia arrived at this time. (7:21 p.m.)
4. 77th Street - Two acquisition properties are currently
seeking Metropolitan Council RALF Funds.
HRA Minutes -2- March 19, 1990
Item #3 PROGRESS REPORT BY REPRESENTATIVES OF THE ROBERT
LARSEN PARTNERS, INC. REGARDING THE PROMENADE, ILN.
HRA LETTER NO. 7
Kelly Doran, Robert Larsen Partners, Inc., reviewed the
status of acquisition offers made. to property owners in the ILN
Redevelopment area. He stated that Robert Larsen Partners Inc.
had been making good faith efforts to evaluate the properties and
make reasonable offers. He indicated some property owners
appeared unwilling and uncooperative in this process. He stated
that it may become necessary for the HRA to consider initiating
eminent domain proceedings to expedite the acquisition process in
some cases. He stated the T.I.F. time frame for completion for
the project by i/1/92 requires possession by 1/1/91 or it will
not be feasible.
Executive Director Prosser stated that the condemnation
process has risks for both sides since the court determines
compensation. He suggested as a intermediate step that mediation
between the developer and the property owners by an appraiser be
made available for a pert®d of 60 days.
Discussion followed regarding the determination of
acquisition costs, relocation costs, and the impact of added
value of recent building improvements to these determinations.
Executive Director Prosser stated that if a Developers
Agreement is not ready by the deadline of April 30 , 1990, the
Exclusive Rights Agreement with Robert Larsen Partners, Inc. will
be terminated.
Tony Doherty, former owner of Doherty Furniture, reviewed
the purchase offer received from Robert Larsen Partners, Inc. He
stated it was not reasonable nor fair.
Don Mackey, Cutler Animal Hospital, stated that Robert
Larsen Partners, Inc. should be willing to pay top dollar for his
business and property. He indicated that their offer was 75$ of
the assessed market value.
Mr. Dorn reviewed the issues related to the appraisals of
these properties.
M/Garcia, S/Helmberger that Robert Larsen Partners, Inc
will fully compensate the Richfield HRA and City of Richfield for
review appraisals and the mediation process regarding the
acquisition costs for the properties to be acquired for the
Promenade .project for a period of 60 days.
Motion carried 4-0.
HRA Minutes -3- March 19, 1990
M/Ludeman, S/Garcia that Robert Larsen Partners, Inc.
execute with the HRA a memorandum of agreement to proceed with
completion of a Developers Agreement for the ILN Promenade
Project in a suitable format by April 30, 1990 and that on April
30, 1990 the Exclusive Rights Agreement with Robert Larsen
Partners, Inc. will be terminated.
Motion carried 4-0.
Commissioner Ludeman asked about the relationship of Robert
Larsen to the Jockey Club and Midwest Federal.
Mr. Dorn reviewed Mr. Larsen's personal financial
involvement with the Jockey Club. He stated he sold his interest
in 1986 and has no connections with Midwest Federal.
Executive Director Prosser stated the City Attorney has been
monitoring this issue and has found no problems.
Item #4 COMMISSIONERS CHOICE
Commissioner Ludeman reviewed a summary of the information
received from his attendance at the National League of Cities
(NLC) Conference in Washington D.C. and the League of Minnesota
Cities (LMC) Conference.
Commissioner Garcia commented on issues discussed at the LMC -~
Conference.
Item #5 CLAIMS AND PAYROLLS
M/Ludeman, S/Helmberger that the following claims and
payrolls be approved:
FIRST WESTERN BANK
Checks 8888-8900;. 9404-9431 $ 117,546.72
Checks 1014-1015; 1084-1165 Section 8 $ 163,915.00
Motion carried 4-0.
ADJOURNMENT
The meeting was adjourned by unanimous sent at 8:53 p.m.
Date Approved: 4/16/90
omas Harms `rman
Thomas P. Ferber
City Clerk
J
Ja s D. Prosser
Ex cutive Director
~I
~1