06-04-2007 HRA MIN• MEETING OF THE ELK RIVER
HOUSING AND REDEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, JUNE 4, 2007
Members Present: Commissioners Kuester, Lieser, and Motin
Members Absent: Chair Wilson and Commissioner Toth
Staff Present: Community Development Director Scott Clark, Director of Economic
Development Catherine Mehelich, Assistant Director of Economic
Development Heidi Steinmetz, Recording Secretary Debbie Huebner
1. Call Meeting To Order
Pursuant to due call and notice thereof, the meeting of the Elk River Housing and
Redevelopment Authority was called to order at 5:30 p.m. by Acting Chair Kuester.
2. Consider June 4, 2007 HRA Agenda
MOVED BY COMMISSIONER LIESER AND SECONDED BY
COMMISSIONER MOTIN TO APPROVE THE JUNE 4, 2007, HRA AGENDA
AS PRESENTED. MOTION CARRIED 3-0.
• 3. Consider Consent Agenda
MOVED BY COMMISSIONER MOTIN AND SECONDED BY
COMMISSIONER LIESER TO APPROVE THE CONSENT AGENDA AS
FOLLOWS:
3.1. CONSIDER MAY 7, 2007 REGULAR MEETING MINUTES
3.2. CHECK REGISTERS
3.3. BALANCE SHEET -FEBRUARY 2007
3.4 BALANCE SHEET -MARCH 2007
3.5 BALANCE SHEET -APRIL 2007
3.6. REVENUE/EXPENDITURE REPORT -APRIL 2007
MOTION CARRIED 3-0.
4. Open Mike
There was no one present for Open Mike.
5. Request to Utilize Marketing Funds for August 18 2007 Downtown Street Dance
Ms. Steinmetz explained that last August, the HRA authorized a $2,000 contribution toward
the 2006 River's Edge Downtown Business Association block party. The group is planning
another block party/street dance for August 18, 2007, and requests that the HRA allow
them to use the $2,000 contribution for the 2007 street dance, which was previously set aside
for a grand opening special event upon completion of the downtown construction projects.
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Fred McCoy of McCoy's Pub -Stated that the 2006 contribution was used to cover the
cost of city employees setting up barriers, on-duty police officer, portable toilets, and related
expenses. He stated that over 300 people attended the event and he is hopeful the event will
continue to grow. Mr. McCoy stated that without the HRA contribution, there may not be
enough money coming in as gate fees to cover their expenses. Acting Chair Kuester asked if
the event would be held at the same time as last year. Mr. McCoy stated that the event is
scheduled one week earlier than last year.
Commissioner Motin asked Ms. Steinmetz if an event has been planned for the completion
of the downtown construction. Ms. Steinmetz stated that nothing has been planned. Ms.
Mehelich stated that the downtown projects have been phased very differently, noting that
the Jackson Place project will not be completed until late fall. She stated that the Bank of
Elk River, Bluffs and city park projects are nearing completion. Ms. Mehelich stated that
HRA contribution was not specifically tied to any of the projects, but for an overall grand
opening of downtown.
Commissioner Motin stated that he attended the 2006 event, noting that the Sunshine Depot
did not participate and in fact, hired bands which took away from the River's Edge group
event. Mr. McCoy stated that 150 - 175 people attended for the first band, and that the
numbers dwindled for the second one. Commissioner Motin expressed concern for
spending money on event that was not supported by all the downtown business owners. He
stated that he was not opposed to the contribution, but that he would like to see the group
work together to make the event successful.
Mr. McCoy stated that he hopes to add a 5 - 10K running event to the block party schedule.
He stated that when the new business space begins filling up in the downtown, he will try to
work with the owners to participate in the event.
Commissioner Lieser stated that since the HRA has already given informal approval to the
expenditure, she felt they should go ahead and honor the contribution.
MOTION BY COMMISSIONER LIESER AND SECONDED BY
COMMISSIONER MOTIN TO AUTHORIZE THE $2,000 CONTRIBUTION
FOR THE DOWNTOWN RIVER'S EDGE GROUP BLOCK PARTY
SCHEDULED FOR AUGUST 18, 2007. THE MOTION CARRIED 3-0.
Ms. Mehelich noted that the contribution will be made in the same form as last year, by
providing a police officer, staff time for setting up barriers, and services such as garbage,
utilities, and will not be an actual cash contribution.
Mr. McCoy stated that he was willing to incorporate the grand opening of the Bluffs of Elk
River with the event.
Commissioner Motin stated that the group should not expect a contribution from the HRA
next year. Mr. McCoy stated that he understood and hoped that they would be able to
support the event themselves next year.
6. Discuss HRA Intentions for 716 & 720 Main Street Buildings
Ms. Mehelich provided background information regarding the subject properties. She stated
that due to cost/benefit and the pending downtown parking study, that it maybe premature
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• to remove the buildings to provide 21 parking spaces. Staff recommends that short term
public/private use of the buildings continue to be explored.
Mr. Clark stated that they are not looking at uses for the OReilly Building at this point, since
there are code and structural issues that would need to be addressed first. He explained that
use of the building by the Arts Alliance for gallery and classroom space has been discussed
with Patrick Grace. Mr. Grace has informed him that the Arts Alliance would not be able to
pay rent for the space, but would be willing to discuss paying overhead costs. Mr. Clark
stated that further discussion of the option will be discussed with the Arts Alliance
representatives after the Art Soup event is completed. He stated that producing revenue
may not be as important as bringing vitality to the downtown by not allowing the space to sit
empty.
Commissioner Motin stated it sounded like a good temporary use and he could understand
that the Arts Alliance would not want to invest money into the building, since it would be
temporary. He noted that parking maybe addressed in two phase; surface parking spaces,
and a possible structure later. Mr. Clark stated that he was hopeful the parking study would
help them in the decision-making process. Commissioner Motin asked if the parking study
will not be completed until the end of August, would they be able to do anything with the
property before spring? Mr. Clark stated that he was not sure if the Arts Alliance would be
interested in only a 3 - 5 month lease.
Commissioner Kuester suggested that the Arts Alliance could use the building to hold an art
sale or display. Mr. Clark stated that would be a potential option.
• Commissioner Lieser suggested the Arts Alliance maybe interested in the former OReilly
building for storage. Mr. Scott stated that would be a possibility, but he would like to
explore the issue further. Commissioner Lieser asked if the former Houlton building was
being used for storage now. Ms. Mehelich stated yes, on a month-to-month lease, in order
to maintain flexibility. She stated the storage area and the rest of the building had separate
entrances and locks. Commissioner Lieser suggested that a sign be place indicating the
building was available for lease for storage space. Commissioner Motin stated he did not
feel that would be a good idea, since that would identify that the building was unoccupied.
Ms. Mehelich stated that the Arts Alliance proposal was the best option they have heard so
far and staff will continue discussions with them.
7. Downtown Parking Update
Ms. Mehelich stated that the HRA received a copy of the notification which was sent to the
downtown business and property owners regarding the new parking regulations. She stated
that applications for a limited number of parking permits must be submitted by June 5. She
noted that the mailing also provided information regarding the status of the 716 and 720
Main Street buildings. The information stated that relocation of the O~eilly Auto Parts
store was not a reflection of the downtown business climate, but was a result of meeting the
corporate model, and that the city is not tearing down the buildings for a parking lot at this
time. Ms. Mehelich noted that questions have been coming in regarding the new parking
regulations, and that new signage will be posted regarding parking time limits.
Commissioner Kuester asked if employees parking across Highway 10 would need a parking
permit. Ms. Mehelich stated no, that those parking spaces are free, as well as parking along
• Main Street down to Handle School. Ms. Mehelich stated that the parking permits will be
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issued on a quarterly basis. She noted that the City Council authorized the Downtown
Parking Study and that the process is beginning now with a report expected in August.
Commissioner Lieser asked if overnight parking along Main Street from Lowell Avenue to
Handke School would be allowed? Ms. Mehelich stated no.
C+ther Business -None
Adjournment
There being no other business, Acting Chair Kuester adjourned the meeting. The meeting
of the Elk River Housing and Redevelopment Authority adjourned at 6:05 p.m.
~e.~Y/u i~~e~r~c--
Debbie Huebner
Recording Secretary
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