HRA Minutes 12-01-1999
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HRA Minutes - 12/01/99
MINUTES
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, December 1, 1999 - 7:00 p.m.
City Hall
Members Present:
Chair Bob Murray, Dan Frie, Brad Barger, Darrin Lahr and Steve Andrews
Absent:
Council Liaison Brian Stumpf
Staff Present:
Executive Director Ollie Koropchak and Lori Kraemer
1. Call to Order.
Chair Bob Murray called the meeting to order at 7:00 p.m.
2. Consideration to approve the October 6, 1999 HRA minutes.
A MOTION WAS MADE BY DAN FRIE AND SECONDED BY STEVE ANDREWS
TO APPROVE THE MINUTES, AS WRITTEN, OF THE HRA MEETING ON
OCTOBER 6,1999. Motion carried.
3.
Consideration of adding agenda items.
Ollie Koropchak added further information to the Executive Director's report.
4. Consent Agenda:
None
5. Consideration of items removed from the consent agenda for discussion.
N/A
6. Consideration to terminate house lease, to authorize advertising for lease, and to increase
monthly rent for the house located at 3 Walnut Street.
The HRA members were asked to consider terminating the house lease with Tammy IIacker
effective December 9, 1999, which is 30 days after the date of Ms. Hacker's letter. Ollie
Koropchak also asked the members to inspect the house and consider the $500 damage
security deposit from Sherburne County.
Koropchak also noted an application form was mailed to Ms. Hacker to forward on to an
interested party, but until this application is completed and returned, the HRA should
consider advertising or exercising its contract for deed for possible future demolition, or to
sell the house for relocation. Koropchak also noted that the rent should possibly be
increased to $650. Koropehak noted the amount still owing is $1,005.00 and Tammy did not
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HRA Minutes - 12/01/99
respond to Ollie Koropchak's lettcr of 11/22/99. Ms. Hacker was invited to the HRA
meeting but was not prescnt.
The HRA members wcrc in agrcement with tcrminating her lease as of 12/09/99. Chair
Murray askcd if Koropchak could request the name ofthc interested party when notifying
Ms. Hacker of the BRA decision to terminate her Icase. The members would like to
advertise in January.
A MOTION WAS MADE BY BRAD BARGER AND SECONDED BY DAN FRIE TO
TERMINATE 3 WALNUT STREET HOUSE LEASE WITH TAMMY HACKER
EFFECTIVE DECEMBER 9, 1999. Motion carried.
A MOTION WAS MADE BY BRAD BARGER AND SECONDED BY DAN FRIE TO
AUTHORIZE ADVERTISING TO LEASE THE HOUSE LOCATED AT 3 WALNUT
STREET EFFECTIVE FEBRUARY 1,2000. Motion carried.
A MOTION WAS MADE BY BRAD BARGER AND SECONDED BY DAN FRIE TO
INCREASE THE MONTHLY RENT FOR THE 3 WALNUT STREET PROPERTY
TO $650. Motion carried.
7.
Consideration to authorize waiving the date for completion of the minimum improvements
relative to the Contract for Private Redevelopment between the St. Cloud Hospital and the
HRA.
Ollie Koropchak advised the members that due to a delay in the delivery of construction
materials and the lack of construction workers, the independent 60-unit senior housing
project fell bchind thc construction schedule and in order to avoid a default of the Contract,
the HRA is asked to waive the completion date.
Koropchak also noted that waiving the completion date would have no impact on the HRA
as the finance method is a pay-as-you-go method. The Redeveloper would be reimbursed in
an amount not to exceed $440,000 for public improvements in semi-annual payments
commencing August 1,2001 and concluding February 1,2026. An interest rate 01'7.5% to
accrue trom the date of certificate of completion and semi-annual payment from "Available
Tax Increment" meaning 90%. Koropchak also noted the project is expected to be
completed by March but perhaps it would be bcst to waive the completion date to June 30,
2000 to allow ample time.
A MOTION WAS MADE BY BRAD BARGER AND SECONDED BY STEVE
ANDREWS TO AUTHORIZE WAIVING THE DATE FOR COMPLETION OF THE
MINIMUM IMPROVEMENTS FROM DECEMBER 31, 1999, TO JUNE 30, 2000,
WITH THE CONTRACT FOR PRIVATE REDEVELOPMENT BETWEEN THE ST.
CLOUD HOSPITAL AND THE HRA. Motion carried.
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HRA Minutes - 12/01/99
8.
Consideration to authorize pavment of the monthlv HRA bills.
A MOTION WAS MADE BY DAN FRIE AND SECONDED BY STEVE ANDREWS
TO AUTHORIZE THE PAYMENT OF THE MONTHLY HRA BILLS. Motion
carried.
9. Consideration of the Executive Director's Report.
a) Midwest Graphics: Koropchak provided a letter requesting reimbursement ofHRA
expenditures associated with amending the Private Redevelopmcnt Contract per the
request of Steve Krenz. She has not heard back yet.
b) Systematic Refrigeration, Inc.: Provided a letter stating their decision not to locate in
Monticello.
c) TI F District No. 1-21: As of 11/22/99, the second half of 1999 property taxes due on
10/15/99 were not paid by TJ. Martin, Inc. 'rhey will be notified by mail and
advised that thc lIRA will consider at their January meeting to employ an attorney to
declare default of the contract, both on delinquent taxcs and deficiency of tax
increment.
d) T1F District No. 1-20: Koropchak providcd a copy ofa letter to be mailed 12/2/99
notifying the Redevelopcr of the action taken by HRA.
A MOTION WAS MADE BY STEVE ANDREWS AND SECONDED BY BRAD
BARGER TO WAIVE THE COMPLETION OF THE TWO ADDITIONAL
FOURPLEX TOWNHOUSE UNITS FROM DECEMBER 31, 1999 TO DECEMBER
31,2000. Motion carried.
e) TIF District No. 1-17: Koropchak stated she would be mailing a letter 12/2/99
relating the need to submit evidence of payment for site improvements completed.
The HRA approved the Certificate of Complction for the 20,000 sq. 1'1. addition on
2/11/98. The HRA agreed to TIF assistance in the amount of $50,000 pay-as-you-
go. This will bc the second letter from the HRA.
f) TIF District No. 1-25: Koropchak will mail a letter on 12/2/99 regarding the date
the intcrest will start to accrue and enclosing the reimbursement chcck of $1,784.16,
the differcncc bctwccn the $5,000 deposit and the actual amount incurred for
administration expenses.
Koropchak advised the members that Mark Ruff will be attending the January
meeting to update thcm on the Community Center Bonds as well as the TIF districts.
The members also discussed the North Anchor district and Koropchak advised that
nothing is being done at the moment in this district.
10.
Consideration of Committee Reports
a) City Council - Brian Stumpf - Brian was absent from the HRA meeting.
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HRA Minutes - 12/01/99
b)
Community Center - Bob Murray - Terrazzo is appox. 75% complete and carpet is
starting in the City Hall area as well as glazing. A scttlement was proposed on brick
problem on the southwest side of the building., City will not take less than $10,000
and a 10 year guarantee. They received an offcr of $5,000 from the brick company
which they rejected, Donlar has not participated. Pool will not be done on time and
the City is not willing to pay the submitted overtime. Therc were four more change
orders, City initiated, that will not cost more money. Sunny Fresh is putting in an
addition across the RR tracks (17,000 sq ft). General opening will be 1/21/2000;
City Hall will be the 1 Y".
MCP - Steve Andrews - Steve was not at the MCP meeting, but Koropchak providcd
some information. MCP talked about adding another membcr to their board. Sunny
Fresh brought in design plans to DA T for review. DA T is also looking at approx 3
buildings in the downtown area for facade improvements, no progress yet. MCP
looked over budget and discussed some holiday plans.
c)
d)
Steve Andrews asked about some materials being stored on BRA property by
Skipper Pools and if they had been moved. The liRA did give them a temporary
okay to display materials, but not through thc winter. Steve was concerned with the
aesthetics. Koropchak to check.
Markcting - Darrin Lahr/Brad Barger - Marketing Group met and talk cd about
dcvclopmcnt of a trade booth for future events. This is on hold at this time until
Marketing gets a better handle on what the City is marketing at this timc. Koropchak
to go ahead with phone calls. Brad Barger also stated that the Marketing Committce
would like the issue of Charlie PtetTer's land come back to the IDC. They will be
doing a comparison on 3 properties and will talk with City Engineer Bret Weiss.
11. Other Business.
None
12. Adjournment.
A MOTION WAS MADE BY DARRIN LAHR AND SECONDED BY STEVE
ANDREWS TO ADJOURN THE MEETING AT 8:00 PM. Motion carried.
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