07-16-1990CITY OF RICHFIELD, MINNESOTA
HOUSING AND REDEVELOPMENT AUTHORITY MEETING
July 16, 1990
MEMBERS PRESENT: Joan Helmberger; Ivan Ludeman;
Edwina Garcia; and Vern Luettinger.
STAFF PRESENT: James Prosser, City Manager; Steven
Devich, Administrative Services Director;
Bruce Palmborg, Housing and
Redevelopment Coordinator; Bruce
Nordquist, Housing Supervisor; and Jean
Mitchell, Finance Manager.
MEMBERS ABSENT: Thomas Harms, Chairman.
The meeting was called to order by Vice Chair Luettinger at
7:03 p.m.
APPROVAL OF MINUTES
M/Ludeman, S/Helmberger to approve the minutes of the HRA
Meeting of June 18, 1990.
Motion carried 4-0.
Item #1 OPPORTUNITY FOR CITIZENS TO ADDRESS THE HRA
No one wished to address the BRA.
Item #2 CONSIDERATION OF APPROVAL OF RESOLUTION APPROVING THE
ISSUANCE OF A CERTIFICATE OF COMPLETION, PROFESSIONAL
OFFICE BUILDING, DR. DONALD A. JOHNSON, 6945 PENN
AVENUE SOUTH. HRA LETTER NO. 17
HRA Executive Director Prosser reviewed HRA Letter No. 17
regarding consideration of approval of a resolution approving the
issuance of a Certificate of Completion, Professional Office
Building, Dr. Donald A. Johnson, 6945 Penn Avenue South.
The Commissioners commented that the project was well done
and looks very impressive.
HRA Meeting Minutes -2- July 16, 1990
M/Ludeman, S/Helmberger that the following resolution be
adopted; that it be spread in the resolution book and that it be
made part of these minutes:
HRA RESOLUTION N0. 383
RESOLUTION AUTHORIZING EXECUTION OF A
CERTIFICATE OF COMPLETION FOR
6945 PENN AVENUE SOUTH
Motion carried 4-0. This resolution appears as Resolution
No. 383 in Resolution Hook No. 3.
Item #3 CONSIDERATION OF APPROVAL OF RESOLUTION AUTHORIZING
SUBMISSION OF AN APPLICATION TO HUD WHICH REQUESTS
AN ALLOCATION OF SECTION 8 HOUSING PAYMENT ASSISTANCE.
HRA LETTER NO. 18
Executive Director Prosser reviewed HRA Letter No. 18
regarding consideration of approval of resolution authorizing
submission of an application to HUD which requests an allocation
of Section 8 housing payment assistance.
Commissioner Ludeman stated that he felt that this was a
good program. He asked what happens to Metro HRA if all cities
went independent.
Executive Director Prosser stated that there were some valid
concerns .regarding the Metro administration and reimbursement.
The Metro HRA will need to work on these issues or other
communities may consider this same option.
There was general discussion concerning the voucher vs. the
certificate program.
M/Ludeman, S/Helmberger that the following resolution be
adopted; that it be spread in the resolution book and that it be
made part of these minutes:
HRA RESOLUTION NO. 384
RESOLUTION RELATING TO AUTHORIZING HOUSING
PAYMENT ASSISTANCE APPLICATION
Motion carried 4-O. This resolution appears as Resolution
No. 384 in Resolution Book No. 3.
HRA Meeting Minutes -3- July 16, 1990
Item #4 CONSIDERATION OF APPROVAL OF THE EXPANDED NEW HOME
PROGRAM AND REQUEST OF THE CITY COUNCIL TO APPROVE
AND PROVIDE FINANCING. HRA LETTER N0. 19
1
Executive Director Prosser reviewed HRA Letter No. 19
regarding consideration of approval of the expanded new home
program and request of the City Council to approve and provide
financing.
from .
Commissioner Ludeman asked where the City portion would come
Executive Director Prosser answered that funding would come
from the TIF repayment, sale of the property and loans from City
funds. He added that while staff was confident that principal
repayment would be provided, interest payments were uncertain.
He stated that these loans would necessarily be a good investment
from a financial perspective but rather would support a public
policy to upgrade the City's housing.
Commissioner Ludeman asked what specific sources would be
used for the funding and if the HRA Capital Fund could be used.
Executive Director Prosser stated that water, sewer, and LHN
fund balances are some potential sources and that the $1,000,000
trust fund portion of the Capital Fund could also be used.
Commissioner Ludeman stated that he was opposed to making
loans from the City's General Fund.
Larry Wozniczka asked why the cost was $60,000 per property.
Executive Director Prosser responded that the amount also
included lot assembly costs such as appraisals and legal fees.
Larry Wozniczka asked what the lot size would be.
Bruce Palmborg responded that most were fifty foot lots.
M/Garcia, S/Ludeman that the following resolution be
adopted; that it be spread in the resolution book and that it be
made part of these minutes:
HRA Meeting Minutes -4- July 16, 1990
HRA RESOLUTION NO. 385
RESOLUTION APPROVING THE REDEVELOPMENT PLANS
AND TAX INCREMENT FINANCING PLANS FOR THE EXPANDED
NEW HOME - SCATTERED SITE HOUSING PROGRAM;
REQUESTING THE RICHFIELD CITY COUNCIL TO CONDUCT PUBLIC
HEARINGS THEREON; RECOMMENDING APPROVAL OF THE PLANS
Motion carried 4-0. This resolution appears as Resolution
No. 385 in Resolution Book No. 3.
Item #5 CONSIDERATION OF APPROVAL OF AUTHORIZATION TO SOLICIT
BIDS FOR DEMOLITION OF STRUCTURES PURCHASED THROUGH THE
EXPANDED NEW HOME PROGRAM (ENHP). HRA LETTER NO. 20
Commissioner Ludeman asked how the demolition packages would
be structured.
Bruce Palmborg responded that they may be using one or even
three demolition contractors depending on the need.
M/Ludeman, S/Garcia that the following resolution be
adopted; that it be spread in the resolution book and that it be
made part of these minutes:
HRA RESOLUTION NO. 386
RESOLUTION RELATING TO INITIATING
FORMAL BIDDING FOR DEMOLITION OF
STRUCTURES PURCHASED THROUGH THE
EXPANDED NEW HOME PROGRAM
Motion carried 4-0. This resolution appears as Resolution
No. 386 in HRA Resolution Book No. 3.
Item #6 REPORT OF EXECUTIVE DIRECTOR
Executive Director Prosser reported on the following items:
HRA Meeting Minutes -5-
Rich Acres
July 16, 1990
Mr. Prosser reported that the plans for redevelopment and
redesignation of land use have been forwarded to the Met Council.
The Met Council has invoked Metropolitan Significance, which
means it will take additional time for their review. He stated
that the City has been encouraging the Airport Commission to make
a decision on the property. Richfield staff is also contacting
developers on a national level for redevelopment of the area.
Penn Ave./66th Street
Mr. Prosser reported that the marketing plan is being
finalized. The retail market is currently very soft, thus
affecting the redevelopment time frame of the area.
School District Request for TIF Refund
The school district was seeking a refund of TIF increment
relating to the special levy. Mr. Prosser informed the school
district that only the CDP District could provide any funding
transfers to the school district.
Larsen Partners
Mr. Prosser reported that Kelly Doran informed the City that
Larsen Partners is putting ILN the project on hold indefinitely.
Residents in the area have been informed of this.
Executive Director Prosser asked for a motion to authorize
the termination of the Larsen Partners' Exclusive Rights
Agreement, if indeed it still exists, because they are no longer
proceeding with due diligence.
M/Luettinger, S/Ludeman to terminate the Exclusive Rights
Agreement with Larsen Partners.
Motion carried 4-0.
Commissioner Garcia asked what this will do to the City's
reputation.
Executive Director Prosser said he does not think anyone
would look at the City negatively for taking this action.
Item #7 CLAIMS AND PAYROLLS
HRA Meeting Minutes -6- July 16, 1990
M/Ludeman, S/Helmberger that the following claims and
payrolls be approved:
FIRST WESTERN BANK
Checks 1496-1580; 9282-9294; 9536-9572 $131,429.65
Checks 1021-1022 Section 8 $120,000.00
Motion carried 4-0.
ADJOURNMENT
The meeting was adjourned by unanimo nsent at 8:10 p.m.
Date Approved: $/20/90
omas Harms Chairman
i
eve L. ch Jam s D. Prosser
Acting City Clerk E cutive Director
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