08-15-1994CITY OF RICHFIELD, MINNESOTA
HOUSING AND REDEVELOPMENT AUTHORITY MEETING
August 15, 1994
HRA MEMBERS
' PRESENT: Joan Helmberger; Russ Susag; Vern Luettinger;
and Michael Sandahl.
HRA MEMBERS NOT
PRESENT: Tom Harms
STAFF PRESENT: Steven Devich, Acting Executive Director;
Thomas Ferber, City Clerk; Byron Wallace,
Community Development Director; Bruce
Palmborg, Housing & Redevelopment •
Coordinator; John Dean, City Attorney; and
Bridget Walstrom, Finance Manager.
The meeting was called to order by Chair Pro Tempore
Helmberger at 7:00 p.m.
APPROVAL OF MINUTES
M/Sandahl, S/Susag to aoorove the minutes of the Regular HRA
• Meeting of July 18 1994; and the minutes of the HRA/City Council
Concurrent Meeting of August 1 1994.
Motion carried 4-0.
Item #1 OPPORTUNITY FOR CITIZENS TO ADDRESS THE HRA ON ANY ITEM
NOT LISTED ON THE AGENDA.
No one wished to address the BRA.
Item #2 CONSIDERATION OF REVIEW AND EVALUATION OF CONCEPT
PROPOSAL FOR REDEVELOPMENT OF PHASE II AREA ILN
REDEVELOPMENT PROJECT. HRA LETTER N0. 59
Acting Executive Director Devich reviewed HRA Letter No. 59
regarding the review and evaluation of concept proposals for the
redevelopment of Phase II area of the ILN Redevelopment Project.
HRA Minutes -2- August 15, 1994
Neil W. Peterson, Project Manager of the Richfield
Auto/Retail Complex Feldman Project Team, reviewed and answered
questions about the background of the development of the concept
proposal, the .concept objectives, the synergism of two anchor
auto dealerships with a retail component, and how the concept
would meet the HRA's eight factors of consideration in the
selection process. He described the auto/retail concept as a two
level mall with retail space along 77th Street, a restaurant at
the corner of 77th Street and Lyndale Avenue, the two auto
dealerships facing I-494 with some additional retail, and-a~two
level parking ramp in the middle.
Dan~O'Brien, Cluts-O'Brien Architects representing the
Feldmann Project Team, reviewed and answered questions about the
concept site plan. He stated that it would be a staged
development to. be completed in phases over a three year period.
He reviewed a proposed realignment of Colfax Avenue to
accommodate maintaining the Mitsubishi dealer at its current
location. Mr. O'Brien introduced a "stand alone dealer" concept
for the Mitsubishi dealership site which could be part of the
proposed auto/retail complex or stand on its~own next to the
alternative CSM Project if the Feldmann Group is not chosen as .
the Phase II developers
Greg Poe, Leonard Street and Deinard attorneys for the
Feldmann Project Team, stated that if the HRA decides not to
proceed with the Feldmann proposal, it should allow the stand
alone dealership alternative to be built. He stated that he is
of the opinion that they would be entitled to go forward with the
stand alone alternative on legal grounds related to financial and
redevelopment public purpose issues and the question of T.I.F.
district certification issues.
Neil Peterson, Project Manager, stated concern about
accomplishing all the necessary work to finalize the project
concept by November 1 and asked for consideration of additional
time to accomplish the tasks. Mr. Peterson responded to
questions regarding the concept proposal related to acquisition
of the Connoco site, possible tenants, multiple ownership
possibilities, financial feasibility, the need for the City/HRA
to sell bonds or otherwise finance the construction of the
parking ramp, the preliminary value estimate of $20 million, and
timeline for the three year staging of the project.
Dave Garland, Vice President of CSM Corporation, reviewed
the CSM Shops at Lyndale Phase II retail development concept and
how the concept would meet the HRA's eight selection criteria.
Gary Tushie, Tushie, Montgomery Associates Inc., reviewed
the CSM concept site plan and elevations of the proposed retail
mall.
HRA Minutes -3- August 15, 1994
HRA Attorney Dean reviewed the options of the HRA and the
November 1 timeframe for action in selecting a Phase II
developer.
M/Susag, S/Luettinger to defer final selection of a
developer from the two concepts presented for the ILN
Redevelopment Phase II to November, to direct staff and the
proposers to continue to generate information which would permit
the proposals to be ,judged against the eight criteria, and to
request the Feldmann Project Team to provide more information
regarding financial capability, compatibility to Phase I and
security to fulfill a redevelopment contract.
Motion carried 3-0. (Helmberger abstained)
Item #3 CONSIDERATION OF CONTINUATION OF USE OF SOUTH PART OF
CLOVERLEAF SITE FOR CONCRETE BATCH PLANT AND ROAD
MATERYAL STORAGE AND RECYCLING AREAS FOR 77TH STREET
PROJECT, PHASE II. HRA LETTER NO. 60
Acting Executive Director Devich reviewed HRA Letter No. 60
regarding the proposed continuation of the use of the south part
of the Cloverlea£ Site for a concrete batch plant, road material
storage, and recycling area for Phase II of the 77th Street
Project.
M/Sandahl, S/Luettinger to authorize the HRA Chair and
Executive Director to execute the Temporary Use and Occupancy
Agreement regarding the Cloverleaf Site with Shafer Contracting
Company.
Motion carried 4-0.
Item ~4 CONSIDERATION OF RESOLUTION AUTHORIZING CONTRACT WITH
HENNEPIN TECHNICAL COLLEGE TO INITIATE 1994-95 NEW HOME
PROJECT AT 7537 GIRARD AVENUE. HRA LETTER N0. 61
Acting Executive Director Devich reviewed HRA Letter No. 61
regarding a proposed contract with Hennepin Technical College in
the amount of 576,983 for a 1994-95 New Home Project at 7537
Girard Avenue.
M/Luettinger, S/Sandahl that the following HRA resolution be
adopted; that it be spread in the HRA resolution book and that it
be made mart of these minutesa
HRA Minutes -4- August 15, 1994
HRA RESOLUTION NO. 519
RESOLUTION RELATING TO HTC AGREEMENT FOR
7537 GIRARD AVENUE
Motion carried 4-0. This resolution appears as HRA
Resolution No. 519 in HRA Resolution Book No. 4.
Item #5 CONSIDERATION OF RESOLUTION AUTHORIZING PURCHASE OF
EIGHT PROPERTIES FOR RICHFIELD REDISCOVERED.
HRA LETTER N0. 62
Acting Executive Director Devich reviewed HRA Letter No. 62
regarding the proposed purchase for the appraised value of the
following properties for the Richfield Rediscovered Program:
Address
6645 Upton Ave.
6320 Oliver Ave.
6821 Logan Ave.
7525 Girard Ave.
7344 Bryant Ave.
6828 Elliot Ave.
6500-14th Ave.
6236 Pleasant Ave.
Appraised Value
$57,000
$53,000
$57,000
557,000
557,000
557,000
$59,000
539,000
M/Sandahl, S/Luettinger that the following HRA resolution be
adopted; that it be spread in the HRA resolution book and that it
be made part of these minutes:
HRA RESOLUTION NO. 520
RESOLUTION AUTHORIZING PURCHASE OF REAL PROPERTY LOCATED AT:
6645 LIPTON AVENUE
6320 OLIVER AVENUE
6821 LOGAN AVENUE
7525 GIRARD AVENUE
7344 BRYANT AVENUE
6828 ELLIOT AVENUE
6500-14TH AVENUE
6236 PLEASANT AVENUE
Motion carried 4-0. This HRA resolution appears as HRA
Resolution No. 520 in Resolution Book No. 4.
1
HRA Minutes -5- August 15, 1994
Item #6 CONSIDERATION OF PROPOSED TAX LEVY FOR PAYABLE YEAR
1995 FOR CERTIFICATION TO HENNEPIN COUNTY AND SET
OPTIONAL DATE FOR PUBLIC BUDGET HEARING FOR 1994
REVISED/1995 PROPOSED BUDGET AND TAX LEVY.
HRA LETTER NO. 63
Acting Executive Devich reviewed HRA Letter No. 63-regarding
the proposed HRA property tax levy for payable year 1995 for
certification to Hennepin County and the date for an optional
budget public hearing for the HRA 1994 Revised/1995 Proposed
Budget and Tax Levy.
Commissioner Susag asked questions regarding the difference
between the General Fund Budget amount in Section 1 of the
proposed resolution and the General Fund Revenues amount in
Section 2 of the proposed resolution.
After discussion, Acting Executive Director Devich indicated
a more understandable delineation in summary form will be
provided for better understanding. The HRA Commissioners
directed the Executive Director to set a Budget Hearing on
November 21, 1994 at the regular HRA meeting.
M/Sandahl, S/Luettinger that the following HRA resolution be
adopted° that it be spread in the HRA resolution book and that it
be made part of these minutes:
HRA RESOLUTION N0. 521
RESOLUTION APPROVING PROPOSED 1995 HOUSING AND REDEVELOPMENT
AUTHORITY BUDGET AND CERTIFYING THE PROPOSED TAX LEVY
Motion carried 4-0. This resolution appears as HRA
Resolution No. 521 in HRA Resolution Book No. 4.
Item #7 EXECUTIVE DIRECTOR REPORT
Acting Executive Director Devich reviewed HRA Memorandum No.
15 regarding the status of the following HRA projects:
• Richfield Rediscovered New Construction
• Abbott-Northwestern Clinic
• 6318 Nicollet Avenue tenancy
• New Home Program
• Parade of Homes - 6636 Sheridan Avenue
HRA Minutes
Item #8 CLAIMS AND PAYROLLS
-6-
August 15, 1994
M/Sandahl, S/Luettinger that the following claims and
payrolls be approved:
FIRSTAR BANK
Section 8: 1080-1081 5118,300.00
HRA: 6852-6963; 12619-12666; $948,036.02
12823-12868
Motion carried 4-0.
ADJOURNMENT
The meeting was adjourned by unanimous consent at 8:45 porno
Date Approved:
9/ 19/ 94
~ ~/ _
Thomas P. Ferber
City Clerk
Acting Executive Director
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~ ~ ~'~~''
an Helmberger
hair„Pro Tempore