HRA Minutes 03-20-1996
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MINUTES
SPECIAL MEETING OF THE
MONTICELLO HOUSING AND REDEVELOPMENT AUTHORITY
Wednesday, March 20,1996 - 7:00 p.m.
City Hall
HRA MEMBERS PRESENT:
Chairperson Al Larson, Vice Chairperson Brad Barger,
and Roger Carlson.
HRA MEMBERS ABSENT:
Everette Ellison and Tom St. Hilaire.
MCP MEMBERS PRESENT:
Chair Bob Bowen, Vice Chair Lois Maus, Secretary Bill
Endres, Treasurer Merrill Busch (tardy), Clint Herbst,
Fran Fair, Linda Smith, and Al Larson.
MCP MEMBERS ABSENT:
Dick Frie.
CITY STAFF PRESENT:
Jeff O'Neill and Ollie Koropchak.
CITY STAFF ABSENT:
Rick Wolfsteller.
GUEST PRESENT:
Barry Pluth, Master's Home Furnishings.
1.
CALL TO ORDER.
Chairperson Larson called the special meeting of the HRA to order at 7:00 p.m.
2. CONSIDERATION TO REVIEW RATINGS OF THE RFPs FOR SELECTION
OF CONSULTING FIRMS TO INTERVIEW AND MAKE PRESENTATIONS.
Although the HRA will hire and pay for the consulting firm, it is understood
between the HRA and MCP that the MCP will serve as the primary organization
associated with the consulting firm. Therefore at the request of the HRA, the MPC
is included in the process for selection of the consulting firm.
All members of the HRA and MCP, except St. Hilaire, Ellison, and Herbst, reviewed
and rated the eight request for proposals. Based on a rating criteria sheet developed
by O'Neill, O'Neill reported on the compiled scores of the criteria sheets as
submitted by the twelve individuals to O'Neill by the deadline of Monday. Per the
request of the members, O'Neill and Koropchak ratings were included in the scoring.
The compiled scores resulted with the following rating (highest to lowest):
Hoisington Koegler
Camiros
824
803
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HRA MINUTES
MARCH 20,1996
Dalhgren, Shardlow
Sanders, Wacker
Northwest
BRW
Heritage Design
Monticello Design
762
692
649
622
557
192
Members had various opinions as to the level of importance each criteria column
carried. They briefly discussed the fee ranges and agreed these were negotiable. By
a majority vote of the eleven members present, they selected the four top-rated
consulting firms to interview and make presentations. Hoisington, Camiros,
Dalhgren, and Sanders to be notified by O'Neill. The date for the interviews was
set for Monday, April 1, 1996, City Hall, 6:00 p.m. Bill Endres volunteered to
provide the equipment to video the presentations. O'Neill to forward Theresa
Washburn a copy of the four RFPs with an invitation to attend the April 1 interview
seSSIOn.
Fran Fair, Bob Bowen, Al Larson, Lois Maus, and Roger Carlson volunteered to call
and check references. O'Neill to assist with the development of a list of questions
for consistency of reference checks. Date established for reference checks was
Friday, March 29, 1 :00 p.m. at Marquette Bank.
MCP Chair Bowen reported the Mep Articles of Incorporation have been filed.
Filing of the tax exempt status is pending until receipt of (c)3 status information
from Theresa Washburn. Members stressed the importance of a
community/riverfront study not a downtown/riverfront study. The MCP departed
at approximately 7:50 p.m.
3. CONSIDERATION TO HEAR PRE-DEMOLITION DEVELOPMENT
AGREEMENT OPTIONS AS IT RELATES TO THE 111 WEST BROADWAY
PARCEL.
Upon the March 6 HRA adoption of the resolution declaring the structure at 111
West Broadway as a substandard structure, the attached Pre-Demolition
Development Agreement required execution by the HRA and Barry Fluth. The
agreement necessary to indicate the intent of the HRA to negotiate for acquisition
of the property. The adopted resolution and the executed agreement provides the
HRA with a three-year window option to include the parcel within a redevelopment
district.
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HRA MINUTES
MARCH 20,1996
The original agreement was amended as Fluth felt his property was removed from
the open market for a period of 45 days or longer. Upon review of the amended
agreement, Fluth inquired of the BRA's interest to acquire the property. Barry told
HRA members of his asking purchase, $50,000 plus demolition costs of $16,000 or
a total of $66,000. Responding to the BRA question of replacement cost; Barry
informed members his policy included replacement costs only and if the structure
was rebuild his policy included replacement and demolition costs.
Koropchak reminded HRA members: All properties acquired by the HRA must be
identified in the Central Monticello Redevelopment Plan either through the
establishment of a TIF District or as a modification of the Central Monticello
Redevelopment Plan. The Fluth property was not identified as a parcel for potential
acquisition when the HRA fecently modified the Plan. This process takes about 6-R
weeks.
For management the tax payefs money, for consistency of previous HRA decisions,
for protection and public relations, and to encourage Barry Fluth to enter into a Pre-
Demolition Development Agreement with the BRA; Barger made a motion. The
motion authorized John Farrell of Rockford to appraise the raw land located at 111
West Broadway at an approximate cost of $300-$400. The intent of the HRA is to
present Barry Fluth with an offer to acquire the raw land through an option
agreement. The appraisal to establish a fair market value and to be used to
negotiate the purchase price. The offer inclusive of $2,500 earnest money, not-to-
exceed nine months from the date of the option agreement, and first right of refusal
to the BRA. Al Larson seconded the motion and with no further discussion, the
motion passed 3-0. The HRA has previously elected not to acquire property within
the study area until completion of the proposed Community/Riverfront Study and
Plan and the TIF Proforma. An option agreement would be drafted after
completion of the appraisal and upon agreement of the purchase price.
4.
PROJECT UPDATES:
a) Eminent Domain project - Members were provided with a copy of the letters
horn Corrine Thomson. BRA member confirmed the services of John Farrell
to appraise the Katzmarek property.
b) Prairie West Plus - John Komerak, Bill Endres, Mark Ruff, and Koropchak
were on a conference caB to inform Mr. Endres (potential lendef) of the
project and intergration of the TIF assistance. Timing of TIF assistance as
equity Of for cash flow of project which is established through the Private
Development Contract was discussed. Result: The need for the developef
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HRA MINUTES
MARCH 20,1996
to prepare a phased timing schedule of the proposed construction of the twin
and quad homes and the coinciding construction/improvement/acquisition
(project) costs.
c) Carlson riverfront property: Noted letter received by Jeff O'Neill.
5. CONSIDERATION TO APPROVE THE MARCH 6,1996 HRA MINUTES.
Tabled until submitted.
6. OTHER BUSINESS.
None.
7. ADJOURNMENT.
The HRA meeting adjourned at 8:55 p.m.
a~\<(^US~~
Ollie Koropchak, Executive Director
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