HRA Minutes 01-05-1983
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MINUTES
HOUSING & REDEVELOPMENT AUTHORITY MEETING
January 5, 1983 - 7:00 P.M.
Members Present: Jack Reeve,: Don Cochran, Bud Schrupp and Vic
Vokaty.
Members Absent:
Phil White.
The meeting was called to order by consensus. A motion by Reeve,
seconded by Schrupp and carried unanimously appointing Cochran as
acting chairman in the absence of Dr. White. A motion by Schrupp,
seconded by Vokaty and carried unanimously to approve the minutes
of November 29, 1982 meeting as read.
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Cochran raised the question concerning items #3 and #4 on the agenda
and whether or not they should be handled as separate issues or as
a single combined issue. Eidem explained that item #4, poehler's
request for an option really seemed to come after a discussion of
whether or not an option on Lots 13, 14 and 15 of Block 51 was of
interest to the HRA. Cochran raised a question as to whether or
not a discussion of this option would have come up if there were
no proposal by a developer also on the agenda. Eidem indicated
that in his estimation it would not be a critical issue, although
it might fall into the category of general discussion. It was
the consensus of the HRA that discussion on whether or not to
pursue an option on the land be postponed until after the dis-
cussion with Mr. Poehler on the grounds that if the development
proposal did not meet with the HRA's approval, the item relating
to the option became irrelevant. Mr. Joe Poehler introduced
himself and provided some background into his development pro-
posal. He indicated that he was interested in developing a
Farmers Home Administration 515 Housing Project for moderate
income elderly persons. He stated that he was very interested
in Lots 13, 14 and 15 in Block 51. He said that he had conducted
an extensive survey to gauge interest in such a project and of
109 respondents, 56 stated that they would definitely move into a
facility of this sort were it constructed. Poehler also provided
background concerning his previous project in Waterville and his
proposals in Goodhue, Minnesot~ and a development project he is
working on in Colorado. Poehler also provided some personal back-
ground so that the HRA might have a better feel for the character
of the development. Poehler noted that he was formally requesting
an option agreement on the land, since that would be required for
him to submit his preapplication to Farmers Home Administration and
further, he was also requesting that the HRA utilize tax increment
for the acquisition of the above referenced parcels, since the
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HRA Minutes - 1/5/83
market price for the land seemed unusually high for the nature of
this project. He explained that the return on the investment ih
land would be severely limited were he required to pay the full
asking price whereas a slightly reduced cost through tax increment
financing would make the project financially feasible. The HRA
conceded that they could not really grant the option since
action had not been taken earlier and the land was not yet in the
HRA' s name. A motion by Reeve, seconded by Schrupp that agenda
item #3 be deferred to January 19, 1983, and that City staff pre-
pare the following data for consideration at that time.
1. A complete range of option alternatives on the above men-
tioned parcel.
2. A preliminary type tax increment finance budget which would
illustrate possible land sales alternatives.
This was carried unanimously.
A motion made by Schrupp, seconded by Vokaty and carried unani-
mously to postpone action on agenda #4 until January 19, 1983,
so that a preliminary presentation of the project can be made
by the HRA members to the Monticello Planning Commission. By
concensus, a special meeting of the HRA was set for 8:00 P.M.,
Wednesday, January 19, 1983. A motion by Reeve, seconded by
Schrupp and carried unanimously to move items #5 and 6 to the
regular February meeting of the HRA. The date for which will
be set by consensus at the January 19th meeting.
Acting Chairman Cochran adjourned the meeting.
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Thomas Eidem
City Administrator
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