11172025 EDA AgendaRichfield Economic Development Authority
Agenda
November 17, 2025 -- 7:15 PM
Note: Meeting begins immediately following HRA Meeting
Richfield Municipal Center
Council Chambers
6700 Portland Avenue South
1.Call to Order
2.Roll Call
3.Open Forum
a.Participants can share their comments in person, by voicemail, or email, and may also request
to participate virtually. For more information on submitting comments, refer to the Economic
Development Authority Agenda and Minutes page on the City's Website.
4.Approval of the Agenda
5.Approval of Minutes
a.Approval of the minutes of the Regular Economic Development Authority meeting of August
18, 2025.
6.Presentations
7.Consent Calendar
Consent Calendar contains several separate items, which are acted upon by the City Council in one
motion. Once the Consent Calendar has been approved, the individual items and recommended
actions have also been approved. No further Council action on these items is necessary. However,
any Council Member may request that an item be removed from the Consent Calendar and placed
on the regular agenda for Council discussion and action. All items listed on the Consent Calendar
are recommended for approval.
a.Consideration of an Amended Agreement with the Center for Energy and Environment to
authorize the budget for the administration of the Apartment Remodeling Program for 2026.
8.Consideration of Items, if Any Removed From Consent Calendar
9.Public Hearings
10.Resolutions
11.Other Business
12.Executive Director’s Report
13.EDA Discussion Items
14.Approval of Claims
15.Adjournment
Auxiliary aids for individuals with accessibility needs are available upon request. Requests must be made at least 96 hours in
advance to the City Clerk at 612-861-9739.
Includes Materials - Materials relating to these agenda items can be found in the EDA agenda packet located by the entrance. The
complete EDA agenda packet is available electronically on the City of Richfield’s website.
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ECONOMIC DEVELOPMENT
AUTHORITY MEETING MINUTES
Richfield, Minnesota
Regular Meeting
August 18, 2025
Acting President Hanson called the meeting to order at 7:31 PM in the Council Chambers.
EDA Present: Gordon Hanson, Acting President; Mary Supple; Sean Hayford Oleary; John Young.
EDA Absent: Erin Vrieze Daniels, President.
Staff Present: Melissa Poehlman, Executive Director; Julie Urban, Assistant Community Development
Director; and Michelle Friedrich, City Clerk.
OPEN FORUM
Commissioner Hanson gave instructions on how to participate in the open forum. No residents participated
in the public comment opportunity.
APPROVAL OF THE MINUTES
MOTION: made by Supple, seconded by Hayford Oleary to approve the Minutes of the Regular Economic
Development Authority meeting of May 19, 2025.
Motion carried: 4-0
ITEM #1 APPROVAL OF THE AGENDA
MOTION: made by Hayford Oleary, seconded by Young to approve the agenda.
Motion carried: 4-0
ITEM #2 CONSENT CALENDAR
Executive Director Poehlman noted no items on the Consent Calendar.
ITEM #3 CONSIDERATION OF ITEMS, IF ANY, REMOVED FROM CONSENT CALENDAR
None.
CALL TO ORDER
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EDA Meeting Minutes August 18, 2025
ITEM #4
CONSIDER RESOLUTIONS APPROVING THE 2026 PROPOSED ECONOMIC
DEVELOPMENT AUTHORITY BUDGET AND TAX LEVY AND 2025 REVISED
ECONOMIC DEVELOPMENT AUTHORITY BUDGET
Executive Director Poehlman presented Staff Report 7, reviewed the 2026 Economic Development
Authority budget and tax levy and noted highlights and challenges.
RESOLUTION NO. 61
RESOLUTION APPROVING PROPOSED 2026 ECONOMIC DEVELOPMENT AUTHORITY
BUDGET AND CERTIFYING THE 2026 TAX LEVY
RESOLUTION NO. 62
RESOLUTION AUTHORIZING REVISION OF THE 2025 BUDGET OF THE ECONOMIC
DEVELOPMENT AUTHORITY
MOTION: made by Young, seconded by Supple to approve resolution 2026 economic development
authority budget and certifying the 2026 tax levy.
Motion carries: 4-0
ITEM #5 EDA DISCUSSION ITEMS
Commissioner Hayford Oleary noted specific business coordination.
ITEM #6 EXECUTIVE DIRECTOR’S REPORT
Executive Director Poehlman noted the Richfield downtown branding survey was going to be available later
in the week.
ITEM #7 CLAIMS
MOTION: made by Supple, seconded by Young, to approve claims for June, July, and August 2025.
U.S. BANK June 16, 2025
EDA Check #23715-23727 $54,820.00
TOTAL $54,820.00
U.S. BANK July 21, 2025
EDA Check #23728-23741 $10,581.58
TOTAL $10,581.58
U.S. BANK August 18, 2025
EDA Check #23742-23754 $24,625.00
TOTAL $24,625.00
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EDA Meeting Minutes August 18, 2025
Motion carried: 4-0
ITEM #8 ADJOURNMENT
This meeting was adjourned by unanimous consent at 7:44 p.m.
Date Approved: November 17, 2025
Gordon Hanson
Acting EDA President
Michelle Friedrich Melissa Poehlman
City Clerk Executive Director
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Economic Development Authority Meeting 11/17/2025
Agenda Section: Consent Calendar
Agenda Item: 7.a.
Report Prepared By:
Julie Urban, Assistant Community Development Director
Department Director:
Melissa Poehlman, Community Development Director
Item for Consideration:
Consideration of an Amended Agreement with the Center for Energy and Environment
to authorize the budget for the administration of the Apartment Remodeling Program for
2026.
EXECUTIVE SUMMARY
In 2024, the Economic Development Authority (EDA) approved an Origination
Agreement (Agreement) with the Center for Energy and Environment (CEE) to
administer the Apartment Remodeling Loan Program (Program) on behalf of the EDA.
Contract Amendments are required each year to authorize new budgeted spending. The
budget for 2026 provides $100,000 for loans and $3,000 for loan administration for a
total Amendment budget of $103,000.
The EDA's Apartment Remodeling Program provides zero-interest deferred loans to
rental housing property owners to make building improvements.
RECOMMENDED ACTION
By motion: Approve an Amendment to the Multi-Family Improvement Program
Origination Agreement with the Center for Energy and Environment authorizing up to
$103,000 in expenditures for the Apartment Remodeling Program in 2026.
HISTORICAL CONTEXT
• In March of 2018, the EDA approved the creation the Program to encourage
investment in the City's apartment properties. In 2023, the EDA expanded the
eligibility to include 1-3 unit rental properties when sufficient funds are available.
• The Program provides zero-interest, deferred loans, with a 15-year term and is
focused on properties with rents affordable at 60% of the Area Median Income
(AMI) or less (i.e., Naturally Occurring Affordable Housing or NOAH).
EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS
• Investing in the City's rental housing communities advances equity for residents
with lower incomes and those who are Black, Indigenous, and People of Color
(BIPOC); BIPOC residents make up 54% of the City's rental housing community.
• The Program advances the Strategic Plan initiative to maintain Richfield as an
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affordable place to live.
POLICIES (RESOLUTIONS, ORDINANCES, REGULATIONS, STATUTES, ETC.)
The Agreement incorporates the Program guidelines that were adopted by the EDA in
2018 and amended in 2023.
CRITICAL TIMING ISSUES
The Amendment would be in effect from January 1, 2026, through December 31, 2026.
FINANCIAL IMPACT
The EDA 2026 Budget allocates $103,000 to the Program. The amount will cover loans
and a $775 administrative fee for each loan processed.
LEGAL CONSIDERATIONS
The EDA Attorney approved the Agreement.
ALTERNATIVE RECOMMENDATION(S)
Decide not to approve the Agreement with CEE to administer the Apartment
Remodeling Program.
ATTACHMENTS
1. Amendment 3 Multi-Family Richfield (DRAFT)
2. Budget Exhibit B3 Richfield Multi-Family (DRAFT)
3. Guidelines Exhibit A3 Multi-Family (DRAFT) Richfield
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#
AMENDMENT 3 to the LOAN ORIGINATION AGREEMENT
Between
RICHFIELD ECONOMIC DEVELOPMENT AUTHORITY
And
CENTER FOR ENERGY AND ENVIRONMENT
City of Richfield Home Improvement Loan Program
The Agreement made the 25th day of March, 2024 by and between the RICHFIELD
ECONOMIC DEVELOPMENT AUTHORITY, with offices at 6700 Portland Ave, Richfield,
MN 55423, (the “Authority”), and the CENTER FOR ENERGY AND ENVIRONMENT, with
its offices at 212 3rd Avenue North, Suite 560, Minneapolis, Minnesota 55401 (“CEE”) is hereby
amended.
Exhibit A2 shall be replaced by Exhibit A3 (attached)
Exhibit B2 shall be replaced by Exhibit B3 (attached)
Section 5. Term and Termination of the agreement shall read:
5.1
Unless earlier terminated as provided in the following paragraphs, this Agreement shall
become effective on January 1, 2026 and continue through December 31, 2026
All other sections of the contract shall remain as written in the original and amended agreements.
IN WITNESS WHEREOF, the parties hereunder set their hands as of the date written below:
RICHFIELD ECONOMIC
DEVELOPMENT AUTHORITY
CENTER FOR ENERGY AND
ENVIRONMENT
By ___________________________ By ___________________________
Erin Vrieze Daniels, President
Stephanie Haddad, COO
Date __________________________
Date __________________________
#5286
By ___________________________ TAX ID 41-1647799
Melissa Poehlman, Executive Director
Date __________________________
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Exhibit B3
EXHIBIT B3
TOTAL PROGRAM BUDGET $103,000
RICHFIELD LOAN PROGRAM BUDGET
A.
Multi-Family Improvement Loan Budget (does include Remodeling Advisor Visits and
Loan Origination Fees) : 2026: $103,000
Budget Notes:
1. CEE shall submit monthly invoices for loan program and administrative fees for that
period.
2. Services performed by CEE will be funded from the Total Program Budget as stated
above and paid in accordance with the following schedule.
(1) Annual Administration Fee None (included in Residential
Program)
(2) Multi-Family Improvement Loan Origination Fee
$775 per loan closed
3. Marketing
Marketing efforts will be supported by CEE and marketing costs are not included in the
administrative budget. Hourly rates are inclusive of all overhead expenses and will be
charged only for hours directly related to the labor of all program marketing. CEE will
also be reimbursed by City of Richfield for any non-labor, out-of-pocket expenses
relating to these services on a dollar-for-dollar basis.
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Exhibit A3 Page 1
Agreement between Richfield Economic Development Authority and Center for Energy and Environment
EXHIBIT A3
PROGRAM GUIDELINES
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Exhibit A3 Page 2
Agreement between Richfield Economic Development Authority and Center for Energy and Environment
RICHFIELD LOAN PROGRAM GUIDELINES
The ECONOMIC DEVELOPMENT AUTHORITY is making funds available to rental property owners to assist
with property maintenance and improvements of rental properties. Center for Energy and Environment
shall serve as the administrator for the Richfield Multi-Family Improvement Loan Program.
Multi-Family Improvement Loan
Interest Rate: 0%
Amortization Type: Deferred
Loan Amount: Loan must be matched 1:1
• Minimum of $5,000 and Maximum of $50,000 for properties with 4+ units
• Minimum of $3,000 and Maximum of $25,000 for 1-3 unit properties
• $5,000 maximum per unit for properties with at least 4 units
• $10,000 maximum per unit for 1-3 unit properties
• Additional funds of $1,000/unit up to $10,000 for Energy Improvements identified through a
Energy Audit or for accessibility improvements to accommodate tenants with disabilities
Loan term: 15 years. The loan is 100% forgiven after 15 years if the Borrower retains ownership,
continues to rent the property, and maintains a current rental license. If the borrower sells or transfers
the title of a 1-3 unit property to an existing renter with a household income no more than 80% AMI the
loan will be 100% forgiven at time of sale or transfer. If the property is sold or no longer holds a current
rental license prior to 15 years from the date of the loan the loan is due in full.
Eligible Properties: Residential rental properties located within the geographical boundaries of the City
of Richfield. Properties must be AT LEAST 30 years old AND have a current rental license. Properties
can be owned by a Contract-for-Deed, but the owner of the Contract-for-Deed must sign the mortgage
document. If the property is 1-3 units it must have had a rental license for at least 3 years. Properties
with 1-3 units are NOT eligible until August 1st of each year.
Ineligible Properties: Single-family owner-occupied properties, cooperatives, manufactured homes, or
properties used for commercial purposes. Properties held in a Trust.
Eligible Borrowers: All borrowers must be legal residents of the United States OR a registered business
with the MN Secretary of State. A business must have been in business for at least 2 years.
Ineligible Borrowers: A person or business with no ownership of the property.
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Exhibit A3 Page 3
Agreement between Richfield Economic Development Authority and Center for Energy and Environment
Ownership/Occupancy: Owner- occupied (must be at least 2 units) or Absentee-owned. If the property
is owner-occupied the loan funds can only be used for the rental unit(s).
Loan - to - Value Ratio: 110%. Half of the improvement value may be added to the initial property
value. Value can be established by the Property Tax Statement, or an Appraisal dated within the past 12
months.
Income Limit: None.
Debt - to - Income Ratio: N/A.
Credit Requirements: The Borrower must be current on all Mortgages and Property Taxes.
Multiple Loans per Property/Borrower: More than one loan per property/borrower is allowed,
however, the outstanding balance(s) for this loan CANNOT exceed the maximum loan amount allowed.
Eligible Use of Funds: Improvements that correct city code violations or health and safety concerns.
Permanent Exterior Improvements including, but not limited to roofing, siding, windows, painting,
doors, driveways, parking lots if doing with other eligible improvements, awnings, sidewalks/steps,
garage repair, permanent landscaping and tuck pointing. Interior improvements including but not
limited to structural work, accessibility improvements, plumbing, electrical, insulation, lawn sprinkler
systems, flooring, permanent fixtures (cabinets/counters). Energy Star rated HVAC and Water Heaters,
Solar Systems and Insulation. Questionable improvements will be brought to the city for approval. Note:
If a property has open work orders from a rental licensing inspection report, the items must either be
addressed before a loan application is submitted or as part of the loan rehabilitation plan.
Ineligible Use of Funds: Payment for work initiated prior to the loan being approved and closed, unless
due to emergency. Recreation or luxury projects (pools, playground equipment, saunas, whirlpools,
etc.), furniture, non-permanent appliances (unless part of a full kitchen remodel), and funds for working
capital, debt service, homeowner labor or refinancing existing debts are NOT allowed.
Bids: Only 1 bid is required. All contractors must be properly licensed or registered and permits must
be obtained when required.
Sweat Equity / Owner Labor: NOT PERMITTED
Post Installation Inspection: Permits must be obtained and signed off by a City inspector where
required; when not required, a post installation inspection will be performed by a City representative to
ensure the work has been completed before any funds will be released.
Loan Security: All loans will be secured with a mortgage in favor of the Richfield Economic Development
Authority.
Borrower Fees: Borrower will be responsible for a 1% origination fee, title report, document
preparation fee, mortgage filing and service fees, credit report fees and any applicable closing fee.
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Exhibit A3 Page 4
Agreement between Richfield Economic Development Authority and Center for Energy and Environment
Work Completion: All work must be completed within 180 days of the loan closing. However, when
warranted, CEE may authorize exceptions on a case-by-case basis.
General Program Conditions
Application Processing: Loans will be distributed on a first come first serve basis as borrowers qualify.
1-3 unit properties are NOT eligible until August 1st of each year. Applicants must provide a completed
application package including the following in order to be considered for funding.
➢ Completed and signed application form
➢ Proof of Identity (drivers license, passport, etc.)
➢ Bids or estimates for proposed projects
➢ Other miscellaneous documents that may be required.
Program Costs: Loan origination will be paid out of the Program Budget. Loan program marketing
efforts will be billed directly to the City of Richfield and is a separate expense should the city choose to
commission CEE for marketing support.
Disbursement Process: Funds are disbursed to the borrower(s) on a reimbursement basis after work is
completed and permits are closed/final.
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