HRA Agenda 05-02-2001
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AGE DA
MONTICELLO HOUSING AND R DEVELOPMENT AUTHORITY
Wednesday, May 2 2001 - 7:00 p.m.
505 Walnut Stree - Bridge Room
MEMBERS: Chair Dan Frie, Vice Chair Brad B rger, Steve Andrews, Darrin Lahr, and Bob
Murray.
COUNCIL LIAISON: Brian Stumpf.
OFFICERS: Treasurer Rick Wolfsteller, Executive Director Ollie Koropchak, and Recorder
Lori Kraemer.
GUESTS: Mike Cyr, MLC Building & Remo eling, Inc.
1. Call to Order.
2. Consideration to approve the HRA minutes of April 4, 2001.
3. Consideration to add or remove items from the agenda.
4.
Consent Agenda.
A. Consideration to approve the Certifi ate of Completion. (Cedrus Creek
Craftsman, Inc.)
5. Consideration of update and action relative 0 a portion/whole of Blocks 54 and 64 all
located within TIF District No. 1-22.
6. Consideration to summarize the direction of City Council for redevelopment of Block 52
and outline plan to proceed.
Consideration to discuss advantages and dis dvantages of merging the EDA and HRA.
Consideration to authorize payment of the monthly lIRA bills.
Consideration of Executive Director's Repot.
Committee Reports: MC? - Steve Andrews nd Marketing - Darrin Lahr.
Other Business.
Adjournment.
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MINU ES
ANNUAL METING
MONTICELLO HOUSING AND RDEVELOPMENT AUTHORITY
Wednesday, April 4, 2001 - 7:00 p.m.
505 Walnut Street- Bridge Room
Chair Darrin Lahr, Vice Ch ir Dan Frie, Brad Barger and Steve Andrews
and Council Liaison Brian tumpf.
Bob Murray
Members Present:
Absent:
Officers:
Guests:
Treasurer Rick Wolfsteller, xecutive Director Ollie Koropchak, and
Recorder Lori Kraemer.
Brad Johnson, Lotus Realty Services for BBF Properties, Barry Fluth
John Komarek, Cedrus Cre k Craftsman, Inc.
Mike Cyr, MLC Building Remodeling, Inc.
1. Call to Order
2.
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Chair Frie called the meeting to order at 7: 0 p.m.
Consideration to a rove the HRA minute of March 7 2001.
A MOTION WAS MADE BY DAN FRIE AND SECONDED BY BRAD BARGER TO
APPROVE THE MINUTES OF THE MA CH 7,2001 HRA MEETING. Motion
carried.
Consideration to add or remove items fro
17 A. Executive Director Koropchak add d discussion on the housing study.
Koropchak also introduced two representa ives from Springsted who wish to be on the
HRA agenda in May.
4. Consent Agenda. None
5.
Jeff O'Neill, Deputy City Administrator, rovided information regarding questions the
HRA had of parking in the downtown are , specifically the possible redevelopment of the
Amoco site. O'Neill advised that the serv ces of Steve Grittman, Planner Consultant for
the City of Monticello, have been retaine to address the municipal and street parking
concerns within the CCO. Jon Glomski, ity Intern, completed a survey of the public
parking lots. O'Neill provided the results of the survey with the presentation to the
HRA, advising that the survey was done uring consistent time/days and found that at
most times parking lots were relatively e pty and with peak periods, no more then half
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HRA Minutes - 4/4/0 I
I-IRA, advising that the survey was done d'lring consistent time/days and found that at
most times parking lots were relatively em. ty and with peak periods, no more then half
of the stalls were used, noting a huge capa ity of parking available near the Amoco site.
Some parking is not the most convenient, ut according to Grittman, it is his opinion that
there is the capacity fiJr developing the An oco site and not create a parking problem.
Another option for parking would be to tak funds from the developer and try to acquire
rights to existing private parking areas by s tting up joint parking, but even without that
therc looks to be ample parking space. 0' eill stated that parking docs not appear to be a
huge issue and details regarding finances st"ll need to be worked out with the dcveloper
which would go through the City Council. SAC/WAC fees need to be discussed as well.
City Council Liaison Brian Stumpf stated t at regarding WAC/SAC lees, unless they are
for a public purpose, they will not be waive I pointing out the new Waste Water
Treatment Plant needing to be paid offthro gh SAC/WAC fees.
There was no action required.
6.
Continued - Consideration to extend the efT ctive date of the Prcliminar Oevelo ment
A 'reement with Masters Fifth Avenue I nc. and to arree to amount of TI F assistance for
Phase I or solicit other developers. Brad .10 nson/Barry Fluth, Applicants.
Koropchak noted that the members need to xtend the preliminary development date if so
wished or open it up to others. Also, she as 'ed the members to state whether they were
comfortable in giving the developer a level f TI F assistance.
Brad Johnson addressed the members again stating the most impol1ant part to any
development would be the uses/sources. 'rh largest risk is to the tenant and then the
owner. As a developer, they are looking at 11 % to 12% return on cost, and stated they
would like to continue working on their pro ess. Regarding the parking, Johnson stated
they have the potential to satisfy City requir 'ments on possibly 3 lots which they would
purchase and provide hard surfaces, stating they would be working with these owners to
obtain the lots. If that did not work they wo Id use the funds that the City would allocate
to the developer to pay for parking. Johnso went through the financials once again,
stating the gap is $35,000, Amoco being a pyas you go as it would generate enough
TIF; as fllr as the SAC/WAC fees, they wou d work with the City and also asked irthe
HRA would like to help out with this stating the amount would be about $50,000 for
SAC/WAC. This is above/beyond the dolla s a tenant would have to pay. Again Johnson
stated they are asking for participation from he HRA so they can attempt to secure the
Amoco site, subject to a Development Agre ment and providing funds to the developer.
Johnson stated they have been working with 'I restaurant chain with the building designed
to be primarily restaurant/office (3500 sq. ft:. of restaurant) and (2200 sq. ft:. for office).
Johnson informed the members that this pos. ible tenant is an Italian style restaurant with
the possibility of bringing in approx 1.5milli n dollars per year. Johnson stated it is an
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HR^ Minutes - 4/4/01
upscale restaurant with a small bar, as well as take out. The owner has successfully
operated a restaurant in Minneapolis for th last 10 years. Johnson stated it is their intent
to go bef()fe the Planning Commission po sibly in May. Koropchak reminded the
members of a target date for the HRA to h ve the Amoco site demolished is by June.
Johnson asked that the I-:1RA extend their a'reement f()r 2 months and would be looking
for a preliminary design to be ready by the
A MOTION WAS MADE BY BRAD BA GER AND SECONDED BY STEVE
ANDREWS TO EXTEND THE EFFECTI E DATE OF THE PREL.IMINARY
DEVELOPMENT AGREEMENT TO JU E 6, 2001 FOR PHASE I AND AGREED TO
A LEVEL OF llF ASSISTANCE AS FO LOWS: PAY-AS-YOU-GO TIF
ASSISTANCE IN THE AMOUNT OF TH LESSER OF A) THE COST TO ACQUIRE
THE AMOCO SITE AND DEMOLITION OF STRUCTURE, B) NOT-TO-EXCEED
$166,800 OR C) THE AMOUNT OF THE "A V AILA8LE TAX INCREMENT"
GENERA TED FROM THE PROJECT FO TI IE DURATION OF THE LIFE OF THE
DISTRICT. SUBJECT TO ACQUISrnO AND DEMOLITION OF THE AMOCO
SITE PRIOR TO OR ON JUNE 30, 2001 . ND F':XECUTION OF THE CONTRACT
FOR PRIV ATE REDEVELOPMENT BETWEEN THE BRA AND MASTERS FIFTH
AVENUE, INC. THE UP-FRONT $35,00 SUBJI;;CT TO NEGOTIATION. Motion
carried unanimously.
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revious S1.
Koropchak introduced John Komarek, CedI' IS Creek Craftsmans, Inc., who presented to
the lIRA members a preliminary design concept for redevelopment of the previous St.
Henry's property. Komarek is looking for reliminary concept approval for use ofTIF
assistance. Koropchak advised that at this sage, if the HRA approves the concept, the
concept is then presented to the Council for pproval and the level of TIF assistance
occurs after execution of the Preliminary D velopment Agreement and $5,000 deposit.
Komarek briefly described his concept plan. nd its similarity to his previous project at
Prairie West, stating the Planning Commissi)l1s approval of his concept at their meeting
the previous night.. lIe also stated he has been working with the Land of Lakes Choir on
a private, for profit business campus, advisil g that at this stage it is important to first get
all parties involved to agree upon what shou d happen in this area.
Komarek suggested that Block 28 be develo ed as a parking space/green space area with
possibly a playground, freeing up the block' cross the street for redevelopment which
would drive the TI F district with potentially 2 town houses that could fit in where the
current parking lot is. Koropchak provided n aerial photo of the St. Henry's site and
stated that redeveloping parking lots qualify 'or improvements in regard to establishing of
redevelopment TIF district. Mark Ruff of E leI'S and Associates reviewed this as well
and stated it does qualify for a redevelopme t district in regard to the requirements of the
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HRA Agenda - 4/4/0 I
70% and 15% improvement rules. This al '0 assumes the City Building Official can
determine that more than 50% of the build ngs (excluding outbuildings) are structurally
substandard to a degree requiring substanfal renovation or clearance. A building is not
substandard if it complies with building c des or could be brought up to code at a cost of
less than 15% of the cost of a comparable ew building on the parcel. This determination
must he made by an interior inspection unl ss access cannot he made to the structure or
there is enough evidence supporting that tl e building is structurally suhstandard.
Komarek also noted the Planning Commis ions concern with tratllc patterns. He noted
that with the parking lot being shifted nort it would improve access, actually giving
three accesses into and out of the area. Ko nerak notes potential of acqui ring existing
homes as well. Time of actual project could be 3 to 4 years to completion, adding that
they could start moving dirt this fall if all oes well. O'Neill stated that the City will he
looking at trafTic details, parking, etc. Ko arek states the biggest issue would be to get
concept approval stating that it would cost pproximate]y $600,000 to $700,000 for
cleanup/demolition alone. The HRA mem ers asked Komerak how Land of Lakes fit in
to this project and he stated that they woul potentially be the primary occupants if they
were to participate. He also stated that thee is a regional performing arts center looking
into this building as well.
Koropchak advised that the first thing to d is to define and qualify the boundaries of the
Redevelopment District. Based on the esti ated market values of the construction of 10
twin homes and 12 quads at $145,000 and 175,000 per unit respectively, the amount of
tax increment was estimated. She also advised that these numhers are not cashl10w
numhers by Ehlers, nor should the HRA co mit to a level ofTIF assistance at this time.
Based on the project description to provide arking and playground area for the Land of
Lakes project outside the proposed TIF dist ict, the less 15% represents the amount of TI
which can be spent outside the district. It as also questioned if Komarek had a right of
first refusal from St. Henry's. Koropchak s' ated that the proposed project would provide
a favorable economic impact to the commu ity, remove substandard structures, and
provide quality housing units.
A MOTION WAS MADE BY BRAD BAGER AND SECONDED BY DAN FRIE TO
APPROVE PRELIMINARY CONCEPT F R USE OF TIF ASSISTANCE FOR
REDEVELOPMENT OF TIlE PREVIOUS ST. IIENRY'S PROPERTY, SUBJECT TO
RUILDlNG OFFICIAL DETERMINATIO ,AND RECOMMENDED BRINGING
THIS CONCl-';PT FORWARD TO THE CI Y COUNCIL. Motion carried unanimously.
8.
Consideration of an u date and action relati e to a ortion/whole of Blocks 54 and 64 all
located within TIF District No. 1-22.
Koropchak advised that the closing between the Carlson's and the HRA took place on
Monday, March 26. Now that the HRA OWl s the property and the snow will soon
disappear, she will contact Rod Dragsten to omplete the appraisal of the land only as
authorized by the HRA some time ago. 'fhe purpose of the appraisal is for the public
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hearing and future sale of raw land to the ity.
HRA GARAGE LEASE
HR^ Agenda - 4/4/01
Koropchak advised that the HRA had a Ga age Lease for 220 Front Street with the
Carlson's. The rent was $5 per month and commenced in February1999 and was
extended in January 2000 expiring January 31,2001. The HRA needs to make a motion
to terminate the Lease. The Lease reads "'I he Authority or the Tenant may terminate the
Lease at any time and for any reason, or fo no reason at all, by providing not less than 30
days notice must be given and the tenant must remove all personal property from the
premises within 15 days from the date noti e of termination is given."
A MOTION WAS MADE BY STEVE AN )REWS AND SECONDED BY DAN FlUE
TO TERMINATE THE GARAGE LEASE BETWEEN THE I IRA AND RICHARD E.
CARLSON FOR THE PROPERTY LOCArED AT 220 FRONT STREET. THE 30-
DA Y TERMINATION NOTICE BEING A Y 4, 2001 WITH REMOVAL OF ALL
PERSON PROPERTY WITJ-HN 15 DAYS THEREAFTER, OR NOT LATER THAN
MAY 19,2001. Motion carried unanimous y.
BOSTIC PROPERTY
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Koropchak stated that Sandy Bostic had agr ed to the counter-offer of the BRA for
$109,400 plus prepayment penalty associat d with an improvement loan. The penalty
was estimated at a little less than $3,000. T e Purchase Agreement states a closing date
on or bef()fe April 30, 200t. Bostic request d retaining an outdoor shed, appliances, and
the whirl-pool, Koropchak advised that she uthorized Mr. IIclvey to agree to this. It was
first thought that if the closing date of April 30, 200 I is doable, the HRA would need to
authorize an environmental test for the unde ground fuel tank which Koropchak would
work with the Public Works Director; however, the HRA elected to address the testing
after acquisition of the property
A MOTION WAS MADE BY BRAD BAR 'ER AND SECONDED BY DAN FRIE TO
REQUEST A LOAN FROM THE CITY l' ACQUIRE TIlE PROPERTY AT 8
LOCUST STREET FOR $1 09,400 AT 6.5o/c FOR 15 YEARS. Motion carried
unanimously.
O'CONNOR PROPERTY
Within the counter-offer Purchase Agreemen , the seller had 10 days from date the
counter-otfer was presented to respond. As i r. O'Connor got married and went on a
honeymoon, he obtained the legal services 0 . Attorney John Peterson as he would miss
the I O-day notice to respond. Mr. Helvey be ieves he will accept the olTer.
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liRA Agenda - 4/4/0 I
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HANS HAGEN HOMES
Koropchak stated that she and Mark Ruff 1 et with Hans IIagen earlier that day in terms
of where we were at with acquisition - que' tioned his interest level, went over the
stipulations, and stated Hagen was very int rested and would respond back with a
preliminary agreement and fees within 10 ays. Koropchak asked that at some time the
)-IRA would authorize a request Jor propos, 1 fi.x demolition, but Hagen stated he is
willing to handle that with the HRA payin for it and also knowing this would occur
after the 1 yh and before July 1 st. The HRA agreed to have llans Hagen do the demolition
and requested Koropchak work with the Pu lie Works Director to verify competitive
pnces.
SCI ILIEF HOUSE 3 WALNUT STREET/ OUSE LEASE
Koropchak advised the HRA that on March 29 she made an executive decision to support
the HRA's motion of March 7 to accept the termination of the House Lease; however, we
agreed to allow the two tenants to remain l' r one week (must vacate April 7,2001) at a
cost of $21.66 per day or $151.66 plus utili ies per the one-week lease agreement. HRA
members supported the executive decision.
PUBLIC IMPROVEMENTS
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Koropchak advised that the estimates from he City Engineer for replacement of old clay
water/sewer lines and street improvements as about $150,000 along Front Street
between Walnut and Locust Street. The M yor agreed with the pending development of
10 new housing units, the probability of the clay pipes cracking upon new installation,
and the City's plan to replace the lines with n 5 years; it makes more sense to do it now.
The Council needs to order a Feasibility Stldy and a City Assessment Policy needs to be
developed. The Feasibility Study for tront Street will be ordered April 9 hy the Council.
DEMOLITION/REMOY AL
The liRA needs to consider first if they wis to demolish the Schlief~ O'Connor, and
Bostic homes or advertise one or all the pro erties for sale for $1 or another price, with
the buyer assuming the cost of moving. Se ondly, ifit's the desire of the HRA to
demolish all the properties and HRA garage perhaps it's time to authorize preparation of
the request for proposal for demolition. Th HRA has on file the form used for
demolition of the Hawkins house. It is the (pinion of Mr. Helvey who has seen the
interior of the homes that the O'Connor ho e is the only one worthy of retaining and
moving. The next HRA meeting is May 2, 001, in which the lIRA would authorize
going out for proposals. This hecomes quit close to the demolition deadline of June 30,
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HRA Agenda - 4/4/0 I
A MOTION WAS MADE BY DARRIN I AHR AND SECONDED BY S'I'EVE
ANDREWS TO AUTIIORIZE TI IE DEMOLITION or THE BOSTIC, O'CONNOR,
SCHUEF AND HRA STRUCTURES. M tion carried unanimously.
Scott Douglas, Fire Chiel~ advised that the Fire Department may be willing to take a few
of the houses I{Jr practice.
9. Consideration to review the surve of Bloc.
redevelo ment of a ortion of Block 52 an
assistance or solicit other developers.
Koropchak provided background informafon for Block 52 redevelopment that the North
Anchor had looked at, the time-frame seem to be focusing on Block 52, as well as 64
and 54. At the March meeting, the HRA ra ified the ordering of a survey for Block 52 at
a cost of between $3,000 to $4,500 by Tayl r Land Surveyors. Koropchak advised that
the survey would need to be updated as ele ations could not be completed due to snow,
and also advising that the reason for orderi g the survey was to identify property
boundaries. The members were informed t at Lahr and Koropchak had a meeting
scheduled with Steve Johnson, property ower on Block 52, on March 9. Several
property owners attended the March HRA I eeting relative to concerns associated with
replacement of the public parking lot which was assessed to them.
MIKE CYR
Mike Cyr presented a concept for developnrnt ofthe public parking site with a 6,000 sq
ft office building and future upgrade to the jellberg building. The structure includcd a
second-t1oor office with underground parkil g/retail along River Street. The project has
an owner and two tenants. The HRA encou aged Cyr to continue work on his project.
Koropchak stated that upon hearing the Mar h concept for development of the publ ie
parking lot parcels only, Mr. Cyr was intc)r cd that to qualify for use ofTIF assistance,
the project needs to include demolition (red vclopment). At least 90% of the increment
must be used to finance the cost of correctin conditions that allow designation of
redevelopment districts. This was the reaso why TIF assistance was not used for Sunny
Fresh, Grimsmo Funeral Chapel, Lotus Mall and proposed the proposed Town Centre. If
the Kjellberg and/or Springborg structure ar included, we can qualify the project lor TlF
assistance.
Cyr advised on the parking stating there would be I () parking spots in the building for
owners only, and advising that the revitalizat"on plan allows lor street parking to be
counted as well. Mike stated he was looking fix a consensus that the concept is viable
and the HRA is willing to work with them to redevelop. lIe has spoken to the majority of
property owners on this block, and stated tha Springborg is willing to work with him, but
Kjellberg was not interested. Froslie is willil g to sell as well, but with this project there
is no need for that space at this time; JohnsOI stated interest but in a larger capacity,
possibly f{)fIning a limited partnership and acquiring all buildings, then leasing back to
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HRA Agenda - 4/4/0 I
the owners. Cyr states that this is not his p an Jix this project, he already has owners that
would occupy at least] /3 of this building. Cyr also stated it would not generate peak
parking demands, it would be spread out a d available after hours and weekends. Cyr
again advised that this fits into the redevel pment plan.
Pat Sawatzke, resident and adjacent busine's owner to this proposed project, stated his
objection to this project with concerns that the property is a public parking lot, funded by
adjacent businesses and was built to suppo adjacent parking for these businesses. He is
concerned with future businesses that woul need more parking. lIe noted the possibility
of the sale of the existing "mini mall" andurning into office space which would generate
more parking needs. Sawatzke felt that by allowing only one property to develop, it takes
away other business's ability to develop. ouldlike to see HRA look further into this
before making a decision.
Kjellberg had a concern regarding opening Ip Walnut St for park user parking, but it was
noted that it does not seem to be a concern f the City at this point.
Koropchak noted that Lahr/Steve Johnson et regarding redevelopment in the area,
noting his support of a global use of this bl ck with all buildings involved. Lahr stated a
more global development involving all own rs and the City would be ideal, but Cyr
stated again that this is the Ci ty' s redevelop ent plan and he has tenants and owners
interested. On the global standpoint, the ex sting owners have only to offer what they
have as a building, not capable of getting hi her rents on their existing buildings. Dan
Frie asked ifCyr's project would work in a other area such as Johnson's and Cyr stated
no as there would be no river view, and that the proposed condos would be on the top
floor and could not be top 1100r where JOhlL on's site is. Lahr, Johnson, and Koropchak
met with the President/CEO of First Nation I Bank of Elk River on Tuesday, March 27
upon the suggestion of Steve Johnson. It ap . ears the Bank has an interest in Monticello
but at this time, no commitments for major i vestments. Cyr was going to meet with
Steve Johnson on Thursday, March 29. Cyrexpressed some interest of a tenant for
corner of Pine and Broadway.
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Shared parking was again brought up and C l' stated that is the concept with his project.
Mr. Pat O'Donnell spoke to the members as ell, stating that it has not been established
that the view of the river would be blocked b this project, parking would be provided not
taken away, and this is just an idea at this po nt and issues can be worked out. Lahr asked
Koropchak if building on an empty lot woul qualify for redevelopment and she stated
that buildings would have to be acquired and demolished as well.
Rick Wolfsteller stated that the public parkin) lot was built in 1974, one of approximately
3 or 4; most of the property had to be acquire by the City, costs were assessed back to
property owners in a 6 block area, and he do sn't believe that the individual property
owners own this as it is a public lot. He also'tated that he checked with the City
Attorney, and on his opinion unless there W<L. something on the deed noting it is parking
lot only, improvement costs are assessed to 0 ners t'()r a certain number of years.
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HRA Agenda - 4/4/0 I
Wolfsteller also added that the same form la for parking at this time is not what it was
back in 1974. Bottom line would be to fin out if it's up to the City what happens with
this parking and are waiting for opinion 0 the City Attorney.
Koropehak reminded members of their tin e frame for TIF as well, and stated that if
interested in keeping this project on line, t ey would need to go to the Council. They also
stated that perhaps they should direct the .ity Planner to look at parking /design, making
sure it works for current owners as well as new projects.
Lahr asked if it was necessary to approve the preliminary design concept at this time and
Koropchak stated the HRA could table. F ie also stated his opinion on Mike's concept
noting that there is interest in the North A chor and this fits the plan, although it sees to
fall short in two areas and maybe should e lcompass a larger area, going further into the
North Anchor. They stated this was a win ow of opportunity for redevelopment, being
the TIF district around the downtown area has a limited life (June, 2002) and after that
time TIF dollars cannot be used.
Barger stated this seems to fit the plan tha lIoisington previous did as well, and feels like
the developer is willing to work with othe s, working with the whole block could be an
issue regarding time frame, and he agrees 0 moving forward on the concept. Steve
Andrews states time line is an issue but d esn't want that to be the reason for pushing
forward. Barger asked if Cyr could purch se the property on options with the existing
owners for future development and he stat d it could be a possibility. Window
A MOTION WAS MADE BY STEVE A DREWS AND SECONDED BY DAN FRIE
TO TABLE ANY ACTION UNTIL TIlE PECIAL MEETING WITH THE lIRA AND
CITY COUNCIL ON APRIL 25, 2001 A' 6:30 PM. REQUESTED THE CITY
PLANNER ADDRESS THE PARKING l'SlJE, SPECIFICALLY TO QUANTIFY THE
PARKING IN THAT AREA. A DETAILED FORMAT FOR THE SPECIAL
MEETING SHOULD BE DESIGNED A D THE PLANNING COMMISSION
MEMBERS SHOULD BE INCLUDED I THE DISCUSSIONS. Motion carried
unanimously.
10.
Koropchak advised that at the March 7 III A meeting, the commissioners authorized
entering into a Preliminary Development greement with Integrated Recycling
Technologies, Inc. (IRTI) subject to coun il preliminary concept approval, lender
commitment, and confirmation ofTlf Ca hf10w runs by Ehlers. The Council approved
the preliminary concept for use ofTIF an the $9,000 up-front LGA match on March 12,
2001.
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HR^ Agenda - 4/4/01
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Steve Budd executed the Preliminary Agre ment and deposited the $5,000 fee.
Thereafter, Ehlers was contacted to begin reparation of the TIF District.
The HRA is requested to adopt requesting he City Council call for a public hearing date
of May 21, 2001. This allows time for the la-day notice for comment from the other
taxing jurisdictions.
A MOTION WAS MADE BY STEVE A DREWS AND SECONDED BY BRAD
BARGER TO ADOPT A RESOLUTION EQUESTING THE CITY COUNCIL Of
THE CITY OF MONTICELLO CALL FOR A PUBLIC HEARING ON THE
MODIFICATION TO THE REDEVELO MENT PLAN FOR CENTRAL
MONTICEI,LO REDEVELOPMENT PR JECT NO.1 AND ESTABLISHMENT OF
THE crIF PLAN fOR TIF DISTRICT NO 1-28. Motion carried unanimously.
11. Consideration to a rove the Certificate 0 Com letion for the Twin Cit Die Castin rs
Company.
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Koropchak advised that the Certificate of ,ompletion is associated with the Private
Development Contract between the HRA, ity, and Twin City Die Castings Company
(TCDC). Initially the construction compl tion date for Phase I was June 1,2000. The
completion date within the Contract was a ended three times for a completion date of
April 1, 2001.
Koropchak provided a copy of a Tempora y-Partial Certificate of Occupancy dated
March 12, 2001, from the Bui Iding Depa ment. A permanent Certificate of Occupancy
is to occur on or prior to May 1, 2001, on month later than completion date within the
Contract.
Currently the company employs 14 ofthe'ofthe committed 85 employees and operates as
an aluminum facility not a magnesium faility.
A MOTION WAS MADE BY BRAD B RGER AND SECONDED BY DAN fRIE TO
APPROVI: THE CERTIFICATE OF CO PLETION fOR TWIN CITY DIE
CASTINGS COMPANY AS PER THE ]EMPORARY-PARTIAL CERTIfiCATE OF
OCCUPANCY. Motion carried unanimolsly.
12. Consideration to a rove the election of RA officers for 2001 and a rove the
a ointment of commissioners to commit ees.
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Koropchak advised that in accordance wi h the HRA Bylaws, the chair and vice-chair
shall be elected at the annual meeting onle Board of Commissioners from among the
Commissioners of the Authority and shal hold office for one year or until their
successors arc elected and qualified. Th Secretary-Treasurer shall be appointed at the
annual meeting of the Board of Commiss oners by the Commissioners.
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flRA Agenda - 4/4/0 I
At the annual meeting in ] 998, the commi 'sioners discussed available time to volunteer
and agreed to rotate the liRA officers amo 19 the commissioners suggesting the Vice-
Chair move up to Chair. So being, the Vi e Chair for 2000 was Dan Frie, therefore,
Dan's name moves up to Chair for 2001. n conversation with Dan, he prefers the
election of the Chair he opened fix discuss'on. The next in~line for Chair or Vice Chair is
Brad Barger.
Following is a list of names of the previOLL HRA Chairs and year served:
Lahr
Murray
Andrews
Barger
2000
1999
1998
1997
Rick W olfsteller serves as the Secretary- Tr asurer and delegates the recording of minutes
to Lori Kraemer. Koropchak is employed s the Executive Director.
COMMITTEES
The HRA, annually or as need be, appoints commissioner(s) to various committees.
The only committee with By-Laws is the MP, the others are estahlished Lor a specific
research or purpose. The MC? Bylaws rea the various city commissions annually
appoint their representative to the MCP Boa d of Directors. Length of1erm is three
years. Steve Andrews was appointed a thre -year term in February 1998 following AI
Larson's resignation; therefore, Andrews thee-year term is up February 2001.
.
Current committees and appointees:
Steve Andrews - MCP
Community Center Small Gr up ~ Bob Murray
Marketing - Darrin Lahr/Bra Barger
A MOTION WAS MADE BY STEVE AN[ REWS AND SECONDED BY DARRIN
LAHR TO NOMINATE AND ELECT DAN FRIE AS CHAIR AND BRAD BARGER
AS VICE CHAIR ON THE HRA FOR yr;;A{ 2001, AND APPROVE THE
APPOINTMENT OF RICK WOLFSTELLE AS SECRETARY-TREASURER FOR
2001. Motion carried unanimously.
Steve Andrews expressed interest on being o. the Community Center Advisory Board.
.
A MOTTON WAS MADE BY DARRIN LA R AND SECONDED BY BRAD
BARGER '1'0 APPROVE THE APPOINTM ~NT OF THE FOLLOWING
COMMISSIONERS:
11
.
.
.
HRA Agenda - 4/4/01
130b Murray
Steve Andrews
Brad Barger
Mer
Community enter Advisory Board
Marketing
Andrews' appointment subject to verifieat on of the ordinance establishing the
Community Center Advisory Board (previ llsly the Community Center Small Group).
Motion carried unanimously.
13. Consideration to review and ado t the ea -end financial re orts for the HRA General
Fund and TIF Fund.
Rick WolCsteller, Treasurer for the HRA, r ported the 2001 year-end financial reports for
the lIRA General Fund and TIF Fund.
Wolfsteller noted that $299,395 is in the g neral fund, non-restricted dollars, and that half
of this money has been spoken for, but no expended at this time.
Koropchak noted that the I IRA is to shut own several of the districts. District 6 has
increment and River Mill was decertified, his should be paid back to the County.
Standard Iron building up a reserve and m y retire early to reduce City LOA penalty.
A MOTION WAS MADE BY STEVE A DREWS AND SECONDED BY DAN FRIE
TO ACCEPT THE YEAR END REPOR AS SUBMITTED. Motion carried
unanimously.
14. Consideration to authorize a ment of the month I HRA bills.
A MOTION WAS MADE BY DAN FR1
TO AUTHORIZE P A YMEN'r OF THE
unanimously.
AND SECONDED BY STEVE ANDREWS
ONTHL Y HRA BILLS. Motion carried
15.
Consideration of Executive Director's Re
* Koropchak provided a letter sent to H-W ndow, certified, stating that the HRA is not
obligated to pay any further.
*1DC will visit TCDC in April. Jobs/wag s to report were available today and wages all
there.
*St. Ben's stated in August they will get r. imbursement; one thing still needed from them
is a report on residents regarding indepen ent residents, a year from time of occupancy.
*Scattered Housing - waiting for grant aw rd - April 26.
*Wolfsteller/O'Neill/Koropchak are work ng with Chadwick, presented counter offer, it
is in their hands at this time. Wolfsteller .lso stated he docs not feel they are close at this
time.
* Ryan Companies met Koropchak and ar looking at industrial properties in communities
.
.
.
HRA Agenda - 4/4/01
that would put in larger businesses, could enerate larger taxes.
*llousing Plan - Heidi Peper is looking too housing plan fix Wright Co., study would
include vacancies, rental rates, etc. Would be a time commitment on City's part as they
would coordinate and advertise eommunit. meetings. $500 fce.
*The HRA authorize the City's participati( n in this housing study for the $500 fce.
16.
Committee Reports: No reports
17.
Other Business. None
18.
Adjournment.
Meeting was adjourned at 10 pm.
HRA Chair
Recorder
13
.
.
.
4A.
HRA Agenda - 5/2/01
Consideration to a
Inc.)
letion. (Cedrus Creek Craftsman,
A. Reference and Background:
'fhe II RA and ('edrus Creek Craftsman, [n . entered into a Contract for Private
Redevelopment on July 3. 1996. for redevelopment of the area now known as Prairie
West. The Contract was amended June 23 1997 and the developer agreed to construct 3()
townhouse units at estimated market value per unit of at least $130,000 (quads) and
$ 150.000 (t\vin homes). Completion of Ph se I and II by no later than December 3 I,
2002.
A Certificate of Occupancy has been issue for each unit in Phase I and the Certificate of
Completion for each unit was issued upon he request by the applicable Title Company.
The Certi fieate of Completion bef()[e the HRA for adoption applies to the completion of
the entire 30 units.
Attached is a breakdown ol'the estimated n arket values from the County earlier this year
and bcfl1re the certificate of occupancy for ~ots 19 and 20. You can see the market
values exceed the $130.000 and $1 45,()()() < S outlined in the Contract
B.
Alternative Action:
I. A motion to approve the Certi ficate of Completion of the Contract fiJr Private
Redevelopment between the HRA ., nd Cedrus Creek Craftsman, Inc.
2. A motion to deny approval of the C rtiJieate of Completion.
3. A motion to table any action.
C. Recommendation:
Recommendation is Alternative No. I.
D. ,Supporting Data:
Copy of certificate of completion fix adopt 'on and market values as of January 200 I.
.
.
.
CERTIFICATL OF COMPLETIC)N
(Minimum In provcments)
The undersigned hereby certifies that Cedrus Creek Craftsman. Inc. (the "Redcvcloper'")
has fully complied with its obligations under Art clcs III and IV or that documcnttitled "('ontract
for Private Dcvelopmcnt." dated July 3. 1996 an amended Junc 23. 1997. among the City of
Monticello. Minnesota. the I-lousing and Redevcl )pmcnt Authority in and ror thc City of
Monticello, Minncsota. and the Redeveloper, win respect to construction orthc Minimum
Improvements on the property described in r::xhil it A hcreto in accordance with the Construction
Plans. and that the Redeveloper is released and fc rever discharged from its obligations to
construct of the Minimum Improvements under niclcs III and IV.
Date:
.2001.
THIS DOCUMENT DRAFTED BY:
Kennedy & Graven. Chartered
470 Pillsbury Center
200 South Sixth Street
Minneapolis. Minnesota 55402
(612) 337-9300
HOUSING AND REDEVELOPMENT
AUTHORITY IN AND FOR THE
CITY OF MONTICELLO, MINNESOTA
By__
Authority Representative
LJA
.
.
.
TIF DISTRICT 1-20 CEDRUS REEK CRAFTSMAN, INC.
MARKET VALUES AND OMPLETION REPORT
PHASE I PER CONTRACT
TIF DISTRICT BOUNDARY - BLOCK 1, PRAIRIE WEST SEC
JANUARY 2, 2000 LOT 1
LOT 2
LOT 3
LOT 4
LOT 13
LOT 14
LOT 15
LOT 16
LOT 17
LOT 18
TOTAL JANUARY 2,2000
AGREEMENT JANUARY 2, 1999
AGREEMENT JANUARY 2,2000
AGREEMENT JANUARY 2,2001
COMPLETION DECEMBER 31,2000
PHASE II PER CONTRACT
BLOCK], PRAIRIE WEST SECOND ADDmON
JANUARY 2, 2000 LOT 5
LOT 6
LOT 7
LOT 8
LOT 9
LOT]O
LOT 1 ]
LOT 12
LOT 19
LOT 20
BLOCK 1, PRAIRIE WEST FIRST ADDmON
JANUARY 2, 2000 LOT 1
LOT 2
LOT 3
LOT 4
LOT 5
LOT 6
LOT 7
LOT 8
LOT 9
LOT 10
TOTAL JANUARY 2, 2000
COMPLETION VALUE DEC 3],2002
* four-p1ex
** See attached letter $860,000
Each twinhome value $150,000 and each fomplex unit $130,000
GRAND TOTAL, JANUARY 2, 2000
OVERALL CONTRACT DECEMBER 3], 2002
ND ADDmON January 200t
$]71,600 $]86,300
$171,600 $186,300
$171,600 $186,300
$171,600 $186,300
$158,400* $164,300
$]49,300* $162,800
$ 29,100* $166,400
$ 29,100* $166,400
$ 18,000* $]57,100
$ 18,000* $157,100
$1,088,300 $1,719,300
$ 600,000 ($1,050,000)
$1,120,000 ($],088,300)**
$1,380,000 $1,719,300
$171,600
$]71,700
$175,300
$174,400
$ 97,100
$ 96,700
$ 32,100
$ 32,100
$ 18,000*
$ 18,000*
$125,300
$129,000
$177,000
$177,000
$171,700
$171,800
$175,300
$142,200
$172,800
$171,900
$2,601,000
$2,960,000
$3,689,300
$4,340,000
$186,300
$186,300
$190,400
$189,400
$190,400
$195,800
$192,000
$200,100
$ 71,700 partial
$ 71,700 partial
$137,000
$140,800
$190,600
$190,500
$184,900
$185,000
$188,600
$153,700
$187,400
$186,500
$3,419,100
$5,138,400
4b
.
.
.
5.
H RA Agenda - 5/2/01
Consideration of u date and action rela ive to a ortion/whole of Blocks 54 and 64
all located within TIF District No. 1-22.
HANS HAGEN HOMES
The Preliminary Development Contract ha been executed by Hans Hagen and the $5,000
deposit fee submitted. Please note outline project description. WSB, Inc. has provided
information relative to street elevations as equested.
BOSTlC
At this time we are proceeding to elose on he Bostic property on Monday, April 30,
2001. However to obtain legal or clear titl , it is necessary to go through quiet title
action. It appears we can get on the court c lendar and still demolish after June 15, 200 I.
Seller responsible for clear title. Public W rks requested to check out underground fuel
tank, 48-hour notice of authorization obtai ed.
O'CONNOR
We received a counter-offer horn O'Conno via his attorney requesting to remain in
house another year, relocation benefits for is business, to move the house, and other
items. Response: Planned closing date and possession date, May 31, 2001; business
relocation compensation negotiated upon e idence of business income tax filed; and no,
to moving house. Other minor adjustments ade to the purchase agreement. Purchase
price $130,352.
Rich Cline, City Public Works, inquired as t the possibility of acquiring and moving the
house to restore and fix-up. Although he m y appear at the lIRA meeting, via Chair Frie
and myself an executive decision was made 0 reaffirm the HRA's direction to allow the
fire department to use homes fcn test burn. he BRA must keep in mind the objective of
a redevelopment district is to remove substa dard structures not move substandard
structures.
Action:
A motion to adopt a resolution requesting a loan from the City to acquire the 218
Front Street property.
SCHLIEF
I did talk with Larry Schlief about the BRA' plan to pay-off the Contract for Deed for
the property located at 3 Walnut Street. Ass ming the HRA has a signed Purchase
.
HRA Agenda - 5/2/01
Agreement on thc O'Connor property, the allowing action is required. The remaining
principal balance as of August 2000 was $ 1,619.43. Public Works requested to check
property aftcr tenants left. Rcmember Pub ic Works want garage as they re-roofed it.
Action:
A motion to adopt a resolution requesting a loan from the City to pay-off the
Contract for Deed on the 3 Walnut Stre t property.
CARLSON
1 did authorize Rod Dragsten to completc a appraisal ofthc raw land only on the Carlson
property. This to establish a selling price 0 the raw land in anticipation of sclling the
land to the City in 2002.
FRONT STREET PUBLIC IMPROVEME TS
.
The Feasibility Study authorizcd by the Cit Council for replacement of the water/sewcr
lines and street was accepted by the Counci on April 23. However, the Council did not
call for plans and specs as this may be prem ture without a signed Purchase Agreement
on the O'Connor property. However, it ap ears staff may now view this as a
development improvement and not a replac ment improvement which means a different
assessment policy. Cost $146,193.35 inclu ing 10 lot extensions.
DEMOLITION RE UEST FOR PROPOS L
Per Hans Hagen's project description it app ars he's looking for the lIRA to demolish.
Nced to work on this. Timing with Fire De artment is critical. More on this at meeting.
.
2
.
Pro. ect Descri tion
The Developer proposes to build and sell ten (10) individual residences on ten
(10) platted lots. The ten (10) lots shall be del"vered to the Developer with building pads,
street, and utilities installed, to the specific tions of the Developer and the City of
Monticello, and paid for by the HRA.
The Developer shall prepare a prelim it ary plat and house plans and submit them
for approval, first to the HRA and then to th Planning Commission and City Council.
The Developer believes that all ten (10) ho es shall be complete within a period of
twelve (12) months following the receipt of all governmental approvals.
.
.
The Developer understands the land 0 the north side of Front Street, adjacent to
the ten (10) lots, shall be purchased by the H and become a park containing a walking
trail. The Developer shall install an alley, at t e Developer's sole expense, on the south
side of the lots. All impact fees have already been paid, except that the Developer shall
be responsible for paying the City water and s nitary sewer connection charge.
The HRA shall have the right, in it's ole discretion, to reject the exterior home
design, ifthe design is not compatible with the existing neighborhood.
~ cJk. Cr" ---.ll~ '-..-
'\~' : ~~~
- Q. \
-~!
~\ \~-
~-
SA
.
.
.
6.
Consideration to summarize the directi
Block 52 and outlinc plan to proceed.
HRA Agenda - 5/2/0 J
Council for redevelo mcnt of
Thanks to Dan and Steve Grittman for kee ing the meeting on focus. The workshop
provided a good exchange of information nd discussion bctween key playcrs: property
owners, potential developers, TIF counsel, planning, Council, and HRA.
Summary of direction to lIRA from Coun il:
"Work with interestcd propcrty owners. ot interested in condemnation.
Appears good start. Proceed with part or a 1 of Block 52.
Evaluate progress at end of year for need t pursue Legislative extension."
Mayor - Not interested in reducing parking space. Go ahead with redevelopment. Mixed
use of retail, oflicc and housing OK.
Herbst - Start with interested seller like Jol nson. No reduction in parking.
Stumpf - Explore all of Block 52. Not inte ested in condemnation.
Carlson - Agrees perhaps the useful life of he building are at end. Northwest corner
parking lot not convenient location as a par 'ing lot today. An improved plan for the use
of the over-all existing public parking shou d be considered. Move forward.
PLAN TO PROCEED:
Who's in and who's out?
1. Frie and Koropchak to talk with interes ed party owners: Poirier, Johnson, and
Heaton.
2. Call Barney Gustafson for meeting of in erest.
3. Call others Kjellberg, Springborg, and F oslie.
4. Inter-grade Cyr project.
.
.
.
HRA Agenda - 5/02/0 I
7.
Consideration to discuss the advanta
the HRA.
A. Reference and background:
At a previous HRA meeting. the Executive Director's report indicated the Economic
Development Goals for 200 I included the :ity of Monticello to explore combining the
powers of the BRA and F~DA. The comm'ssioners were asked at that time to give some
thought about the idea for discussion at a I, ter meeting. The EDA discussed the items at
their annual meeting of April 24, 2001. A eport of their discussion will he presented at
the HRA meeting. The following arc adva tages and disadvantages discussed by staff.
Advantages
Disadvantages
Simplicity (one stop for developer.)
Improves communication with Council
assuming EDA would prevail.
One less meeting for statl.
EDA expand powers for development.
Hopefully improves attendance.
Less public participation.
lIRA has power to levy.
Reduces checks and balances
as was original reason.
TIF more complex.
This is open for discussion.
.
.
.
8.
Recommendation is to authorize payment.
HRA Agenda - 5/2/0 1
HRA bills.
Kennedy & Grav . n, Chartered
200 South Six~ Street ~
Suite 40
Minneapolis, M 55402
(612) 337- 300
.
April 10, 2 01
Statement No 37377
g..\,::>. '-\\.0 S~'O. ~()40
\
City of Monticello
ACCOUNTS PAYABLE
505 Walnut Street, Suite 1
Monticello, MN 55362
Through March 31, 2001 ~ \ --;. 4 \,g ~o \ . "3 ~ \...I 0
MN190-00041 Redevelopment - General
MN190-00088 Acquisition of 8 Locust StreeVBostic
MN 190-00089 Acquisition of 218 Front StreeVO'Connor
MN190-00090 Acquisition of 225 Front St./Carlson
Expenses
.
ct
.
Total Current Billing:
234.25
40.50
32.00
1,542_00
137.39
1,986.14
.
Kennedy & Grave, Chartered
200 South Sixt Street
Suite 47
Minneapolis, M 55402
April 10, 2 01
Invoice # 37377
City of Monticello
ACCOUNTS PAYABLE
505 Walnut Street, Suite 1
Monticello, MN 55362
? \ ~ I l\ t; ~O \ . :, 0 4 (!)
M N 190-00041
Redevelopment - General
Through March 31,2001
For All Legal Services As Follows:
3/5/2001 SJB Telephone conference with
TIF matters.
Hours
Koropchek regarding various 0.75
0.50
3/21/2001
DJG Telephone conference with Koropchak regarding various 0.30
issues
3/23/2001
SJB Telephone conference with Koropchak regarding TIF
proposal.
.
Tot I Services:
$
Tot I Services and Disbursements: $
.
Amount
116.25
40.50
77.50
234.25
234.25
Page:
Kennedy & Grav n, Chartered
200 South Sixt Street
Suite 47
Minneapolis, M 55402
.
City of Monticello
March 31,2001
?\'?
MN 190.00088 Acquisition of 8 Locust StreeUBostic
Through March 31, 2001
For All Legal Services As Follows:
3/30/2001 DJG Telephone conference with
purchase agreement.
.
.
~ c; ~ ~ . ~ b ~--o
Hours
Koropchak regarding Bostic 0.30
$
Tot I Services and Disbursements: $
Amount
40.50
40.50
40.50
.
Page:
Kennedy & Grav n, Chartered
200 South Six h Street
Suite 4 0
Minneapolis, M 55402
City of Monticello
March 31,2001
r:J-. '-\\.0
I'} \ -..I'
s
~. ~tJ \..\-0
MN190-00089 Acquisition of 218 Front Street/O'Connor
Through March 31, 2001
For All Legal Services As Follows:
3/13/2001 CHT Review Conworth offer lette ; phone call with K Helvey
To al Services:
Hours
0.20
$
Amount
32.00
32.00
To al Services and Disbursements: $ 32.00
.
.
.
City of Monticello
March 31,2001
Page:
Kennedy & Grav n, Chartered
200 South Sixtl Street
Suite 47
Minneapolis, M 55402
Y)-
L\ l, c;. <6 ~. S c '-~ -0
~.
MN190-00090 Acquisition of 225 Front St./Carlson
Through March 31, 2001
For All Legal Services As Follows:
3/1/2001 SJB Telephone conference with Koropchek; draft loan
agreement with City, HRA r solution.
CBR Intraoffice conference re clo ing 0.20
3/6/2001
3/13/2001
3/15/2001
. 3/19/2001
3/19/2001
3/21/2001
3/22/2001
3/23/2001
3/26/2001
3/27/2001
3/27/2001
Hours
1.50
CBR Intraoffice conference; revie correspondence and 0.20
purchase agreement
CBR Review correspondence; re iew abstract, draft title opinion 2.50
and closing documents
DJG Draft title opinion. 0.60
CBR Revise documents; phone c lis re taxes, specials and 1.60
closing data; phone call to .ortgage company
CBR Draft and revise closing doc ments; draft letters; phone 3.70
calls; intraoffice conference
CBR Draft documents; email to J hn Peterson 0.30
CBR Phone calls re: lease agree ent; J. Peterson, client; 0.70
office
CBR Intraoffice conference re: Ie se; telephone call to client; 3.70
telephone call to J. Peterson's office; fax documents;
attend closing
CBR Draft letters 0.50
JQS Review C Rocklitz instructio s; procure check to pay filing 0.25
fees; draft letter to Wright C unty Recorder to file
Warranty Deed
Tot I Services:
$
For All Disbursements As Follows:
.
Postage
Photocopies
Fax
Amount
232.50
18.00
18.00
225.00
81.00
144.00
333.00
27.00
63.00
333.00
45.00
22.50
1,542.00
4.77
12.60
12.00
.
.
.
Page: 5
Kennedy & Grav n, Chartered
200 South Si th Street
Suite 4 0
Minneapolis, N 55402
City of Monticello
March 31,2001
3/23/2001
Johnson, Larson & Peters n, P.A; Delivery expense for
delivery of an abstract
Catherine B. Rocklitz - Mil age Expense
Wright County Recorder; iling fee to file Warranty Deed
To al Disbursements:
3/26/2001
3/27/2001
To al Services and Disbursements: $
62.00
$
26.52
19.50
137.39
1,679.39
.
.
MC100-01
j
Monticello HRA
505 Walnut Ave ue, Suite 1
Monticello, MN 55362
April 1 0, 001
GENERAL
Professional Services
Invoice # 18237
Hours Amount
'-\ \0 "'30\ . ? \ ~ q
Run for single family houses TIF - CMHP ?'~'
Meeting with HRA ").. \ ~ - ~~ CO? ':) ::. \"\ '1 ,
Meeting on TIF numbers for District 22 \ "? ~ 4'" S "':1. ":). . ? \ q q
New TIF run o~61oco..>
New runs for Distnct No, 1-22 -,. \ '? - 4'" 5 "'1 -:l. , ~\ <1 q
Calculations for St. Henrys ,.., ":b ,L.\ ~ 0 \ ,'?::. \ l:\ '\
Total Due This Month:
Status of Account:
30 Da s
$0.00
90 Da s
$0.00
3/2/01 MTR
3/7/01 MTR
3/28/01 MTR
3/29/01 MTR
MTR
MTR
Current
$1,000.00
60 Da s
$0.00
~
~ "....
+et.- ,. ,.-y D
<:;- " 0 C/
~~~
.
PLEASE KEEF
1.00
3.00
0.50
1.00
2.00
0.50
125.00
375.00
62,50
125.00
250.00
62.50
8.00 $1,000.00
120+ Da s
$0.00
o REMIT PINK COpy WITH PA YMENT TO:
.
EHLE
& ASSOCIATE
3060 Centre Po nte Drive
Roseville, MN 55113-1105
.
.
.
!J
Monticell HRA
505 Walnut Ave ue, Suite 1
Monticello, N 55362
April 1 0, 001
District No. 1-28 - -:t. ~ "\ I
"'Tt <:y. \ - :;t &
Professional Services
MC100-30
3/29/01 MTR Work on District No. 1-28
Total Due This Month:
Status of A'ccount
Current
$93.75
30 Da s
., $0.00
60 Da s
$0.00
90 Da s
$0.00
Invoice # 18238
120+ Da s
$0.00
Hours Amount
0.75
93.75
~~
0.75
$93.75
\~~~
~~~
Total
. 5
PLEASE KEEP WHITE COpy FOR YOUR FILE NO REMIT PINK COPY WITH PAYMENT TO:
.
5
& ASSOCIAT S INC
3060 Centre ointe Drive
Roseville, MN 5113-1105
651.6978500
.
.
.
HRA Agenda - 5/2/01
9.
Consideration of Executive Director's R
Amoco site - Brad meeting with restaurant wner on Tuesday. Bjorklund selling price
$170,000. Council accepted preliminary e ncept for use ofTIF. WAC/SAC to be
assessed and parking yet to be addressed.
St. Henry's - Preliminary concept for use 0 TJF accepted. Concerned about amount of
TIF and numher of years. (Number ofTIF istrict in City). Komarek working with St.
Henry's.
Scattered Housing Grant ~ Word has been r ceived that the Monticello application for a
$500,000 grant from the MHFA was not a arded to Monticello. The intent is to re-
submit the application at the next round of - pplieations.
Small Machine Shop out of Eden Prairie - "hree employees at $20 per hour without
benefits. Looking to construct 8,000 to 1 0, 00 sq it metal/wood frame structure.
Referred him to L,ake Tool for land acquisi ion. Did not market TIF, only loan program.
St. Bens - St. Bens submitted the necessary information as evidence for this TIF llousing
District to remain a "Qualified Housing Di trict." This means there is no LGA Penalty or
Local Match for the City. The 60-unit ind pendent facility has 39 units occupied with 24
of those units meet the income and rent lev Is necessary for a qualified housing district.
IRTI - Decision on lender not made. Final and preliminary plat on Council agenda June
11,2001. Waiting on submission ofTIF P an to Wright until further moved along.
Freedom Development, Inc. - David Bell c lied and requested to be on the May HRA
agenda for acquisition and TIF assistance f r development of the Country Club Manor
property. As you will recall, a few years a 0 he and David Hornig presented proposals to
the City Council for development. 'l'his in response to the City's request for proposals.
Bell requested TIF and Hornig did not. Neither project proceeded. Mr. Bell's current
idea is to construct 75 - 80 owner-occupie market rate and affordable townhomcs.
Selling price $115,000-$120,000 for affor - able units. At City site review, Administrator
Wolfsteller indicated he has received two ther telephone calls from developers interested
in acquiring the property. At this point, no mention of TIF. Mr. Bell was informed that
Mr. Wolfsteller will request the City Coun il to authorize again going out for request for
proposals. This scheduIcd for the May 14 :ouncil meeting; therefore, it is premature for
Mr. Bell to attend the HRA meeting. Give the Council's concern relative to the number
of TIF Districts, the HRA authorized a Ho sing Plan, and the interest of developers in the
property; 'flF may not be the answer. Tee mically the HRA owns the property; however,
previous HRA commissioners authorized t e Council to manage and benefit from the
property.