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04-25-1994 SpecialCITY OF RICHFIELD, MINNESOTA SPECIAL HOUSING AND REDEVELOPMENT AUTHORITY MEETING HELD CONCURRENTLY WITH REGULAR CITY COUNCIL MEETING APRIL 25, 1994 CITY COUNCIL MEMBERS PRESENT: Martin Kirsch, Mayor; Michael Sandahl; Susan Rosenberg; Russ Susag; and Don Priebe. HRA MEMBERS PRESENT: Thomas Harms, Chair; Joan Helmberger; Vern Luettinger; Russ Susag; and Michael Sandahl. STAFF PRESENT: James Prosser, City Manager; Thomas Ferber, City Clerk; Donald Fondrick, Community Services Director; Byron Wallace, Community Development Director; Jack Erskine, Public Safety Director; William Fillmore, Liquor Operations Director; and John Dean, City Attorney. A concurrent meeting of the Housing and Redevelopment Authority and the City Council was called to order by Mayor Kirsch and Chair Harms at 7:00 p.m. PRESENTATION OF COLORS AND PLEDGE OF ALLEGIANCE Mayor Kirsch led the audience in the Pledge of Allegiance. ITEMS CONSIDERED BY BRA: HRA Item #1 CONSIDERATION OF RESOLUTION APPROVING AMENDMENTS TO CONTRACT FOR PRIVATE REDEVELOPMENT BETWEEN HRA AND CSM CORPORATION; ILN REDEVELOPMENT PROJECT, BRA LETTER NO. 38 HRA Chair Harms reviewed HRA Letter No. 38 regarding proposed modifications to the Contract for Private Redevelopment between the HRA and CSM Corporation. He stated that at the concurrent HRA and City Council meeting on April 18, 1994, the HRA received a proposed modification to the contract from CSM. Mr. Harms stated the modification would provide for the current owners and occupants to prepare an alternative proposal for the Phase II area and submit it to the HRA within three months or by July 18 with or without a role for CSM. The proposing parties could then take an additional three months to establish concept feasibility. If either of the deadlines are not met, CSM would proceed to develop Phase II as initially proposed. Mr. Harms indicated the proposed modification also contains criteria by which to evaluate competing proposals and a change in the fiscal disparities payment to CSM for Phase I to $308,220 instead of $500,000. HRA/Council Meefiia~g Minutes -2- HRA/City Attorney Dean reviewed the proposed the Contract for Private Redevelopment between the Corporation. April 25, 1994 amendments to HRA and CSM Greg Poe, Leonard, Street & Dienard, attorney representing Terry Feldmann, stated that Terry Feldmann's Imports Inc. has a long term plan and financial strength to carry out a plan for the area. He asked questions about the draft contract amendment related to the non-exclusive easement for parking stated on page 11, 3.2A sub.(g) of the agreement. Chair Harms explained the need for reasonable flexibility regarding parking spaces. HRA/City Attorney Dean stated that the total parking spaces for the two phases will be less than 1000. Greg Poe, Leonard, Street & Dienard, asked questions related to Bill No. 1994-7 which rezoned the property. Chair Harms stated that the Council would have the discretion to amend this ordinance if required to accommodate a ~liffore;at Phase II ro~l8~el®g~m®Ynt g~rropo~al. Council Member Priebe suggested that the HRA should use a criteria analyzing proposals on their immediate tax base impact, especially in the case where a proposal would not require T.I.F. assistance. Chair Harms stated that section 3.2A sub.(b) specifically lists the affect on the City's tax base as a factor to be considered by the HRA. M/Luettinger, S/Sandahl to close the public hearing. Motion carried 5-0. M/Sandahl, S/Susag that the following resol tion be adopted; that it be spread in the resolution book and that it be made part of these minutese HRA RESOLUTION NO. 509 AMENDING CONTRACT FOR PRIVATE REDEVELOPMENT WITH CSM CORPORATION Motion carried 5-0. This resolution appears as HRA Resolution No. 509 in HRA Resolution Book No. 4. HRA Item #2 CONSIDERATION OF AMENDED RESOLUTION AUTHORIZING CONDEMNATION AND QUICK TAKE OF PHASE Y, THE SHOPS AT LYNDALE, YLN REDEVELOPMENT PROJECT. HRA LETTER N0. 39 1 HRA/Council Meeting Minutes -3- April 25, 1994 Executive Director Prosser reviewed HRA Letter No. 39 stating that on April 11, 1994, the HRA adopted a condemnation resolution for the Phase I area of the Shops at Lyndale. Subsequently, questions have arisen about the ownership of the former 77th Street right of way immediately north of and adjacent to Emerson Avenue Congregational Church. He stated the amended resolution is being included on the agenda so if it is determined that the City does not have clear title to the property, action can be taken to obtain title. M/Luettinger, S/Sandahl 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. 510 AUTHORIZING EMINENT DOMAIN PROCEEDINGS TO ACQUIRE CERTAIN REAL PROPERTY; AMENDING HRA RESOLUTION NO. 504 Motion carried 4-0. (Helmberger abstained). This resolution appears as HRA Resolution No. 510 in HRA Resolution Book No. 4. ffitA Item #3 CONSIDERATION OF A RESOLUTION RELATING TO RICHFIELD SHOPPES DEVELOPMENT PROJECT AUTHORIZING EXECUTION OF A SUBORDINATION AGREEMENT. HRA/City Attorney Dean recommended that the HRA approve a resolution relating to the Richfield Shoppes Development Project authorizing execution of a subordination agreement. M/Sandahl, S/Luettinger 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. 511. RESOLUTION RELATING TO RICHFIELD SHOPPES DEVELOPMENT PROJECT: AUTHORIZING EXECUTION OF A SUBORDINATION AGREEMENT Motion carried 5-0. This resolution appears as HRA Resolution No. 511 in HRA Resolution Book No. 4. ADJOURNMENT The HRA meeting was adjourned by unanimous consent at 7:28 p.m. HRA/Council T~Ieeting Minutes -4- April 25, 1994 Date Approved: 6/ 20/ 94 homas P. Ferber City Clerle C mar Harms Chairman D. Prosser ive Director .-~ L~J