08-02-2004 HR MIN MEETING OF THE ELK RIVER
• HOUSING AND REDEVELOPMENT AUTHORITY
HELD AT THE ELK RIVER CITY HALL
MONDAY, AUGUST 2, 2004
Members Present: Chair Wilson,Commissioners Toth,Lieser and Motin
Members Absent: Commissioner Thompson
Staff Present: 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 5:00 p.m.by Chair Wilson.
2. Consider August 2,2004 HRA Agenda
MOVED BY COMMISSIONER TOTH AND SECONDED BY COMMISSIONER
LIESER TO APPROVE THE AUGUST 2,2004,HRAAGENDAAS PRESENTED.
MOTION CARRIED 4-0.
• 3. Consider Consent Agenda
MOVED BY COMMISSIONER MOTIN AND SECONDED BY
COMMISSIONER TOTH TO APPROVE THE CONSENT AGENDA AS
FOLLOWS:
1. JUNE 30,2004 SPECIAL HRA MINUTES
2. JUNE 30,2004 WORK SESSION MEETING NOTES
3. CHECK REGISTER
4. JUNE 2004 REVENUE/EXPENDITURE REPORT
5. JUNE 2004 BALANCE SHEET
MOTION CARRIED 4-0.
4. Open Mike
Philip Rondeau of Dynamics Design&Land Co.,owners of the Cinema Building in the
downtown,stated that he had two concerns regarding parking during the Downtown
Revitalization Project. First,he was concerned about losing the Jackson Square parking lot
and he was aware that additional parking would be added west of Kempers.He stated that
he would like to see the design sketches. Second,he was told that the alley between the
Cinema Building and the Sunshine Depot was going to be vacated and asked how Dynamic's
residential tenant in the Cinema Building would have access. Chair Wilson stated that he
was not aware of any plans to vacate the alley. Director Catherine Mehelich stated that some
preliminary design concepts were done by the Planning staff for the park area,and that she
would get this information to Mr.Rondeau. Chair Wilson noted that the park fees which
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August 2,2004
will be paid by the developer of the downtown project will be used for developing the park
• space and a river walk path.
5. Downtown Revitalization Project Update
Ms.Mehelich noted that the master timetable for the Downtown Revitalization Project
includes key elements of the tax increment financing process and land use approval process,
and that it is preliminary and subject to change. She noted that the City Council has called
for a public hearing on September 20th to consider the TIF Plan. Ms.Mehelich stated that
staff anticipates the development agreement to be reviewed by the HRA and City Council in
October,and that MetroPlains anticipates starting construction of the Bluff Block by spring
2005. Ms.Mehelich reviewed other recent activities as noted in the staff memo,including a
note that MetroPlains has closed on the purchase of the Hinrichs property.
Keith Holmes,owner of Kemper Drug,expressed his concern regarding customer
parking and construction vehicle parking. He stated that if there is no place to park,he will
have no customers. Mr.Holmes suggested using parking stickers for construction employee
vehicles.
Vern Hanson of MetroPlains stated that disruption of the downtown is also a concern
they share,since it would have a negative impact on current businesses as well as future
business. He stated that workers will be parking off-site,in the area north of the railroad
tracks and east of Jackson. Mr.Hanson stated that they are still refining the staging plan and
this plan will be included in the development agreement. He explained that when the
underground parking is completed,this area will be used for workers to park,as well as
410 material storage. Mr.Hanson noted that there will be a portion of the sidewalk which will be
lost during construction on the east side of Jackson.
Ms.Mehelich noted that Mr.Hanson will attend the River's Edge Downtown Association
meeting in August.
6. Update on Redevelopment Plan for Downtown North of Highway 10
Assistant Director Heidi Steinmetz explained that the HRA defined a study area boundary
and a long-term vision for the area at the June 30,2004 work session. She noted that staff is
working on concept options for the area,as well as updating past research information. Ms.
Steinmetz noted that staff will also provide recommendations on potential barriers to
implementing the concept options.
Ms.Steinmetz noted the following next steps for the project:
October 2004
• Staff presentation of concept options and past research
• HRA to discuss potential barriers to implementing the concept options
November
• HRA work session to refine concept options
• HRA to discuss next steps
•
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August 2,2004
6.1. Three Properties for Sale on Main Street
• Ms. Steinmetz stated that it has come to staff's attention that three properties are for sale
along Main Street which are within the Study Area Boundary defined by the HRA.
Chair Wilson stated that the HRA may wish to look at the site as a potential redevelopment
area. He asked if the properties are rentals. Lance Lindberg,stated that it was his
understanding that the three properties are owner-occupied.
Ms.Mehelich stated that in the past there has been parking and access issues for people who
wanted to use the homes for commercial offices. She stated that the amount of parking
required depended on the proposed use of the property. Commissioner Toth stated that
staff needs to look at the site to determine how much parking would be required. Ms.
Mehelich stated that additional parcels might be needed to provide adequate parking. She
noted that they have not had any inquiries for redevelopment,but there may be some
interest if the City acquired the property,since it might be eligible for Tax Increment
Financing or Tax Abatement.
Chair Wilson stated that he felt it was worth exploring the possibility of acquiring the
property for a potential redevelopment project. The Commission concurred and asked that
more information be provided.
7. Consider the 2005 HRA Budget
Ms.Mehelich explained that there are two budgets for the Economic Development
• Department;the Economic Development Authority and the Housing&Redevelopment
Authority. She reviewed the proposed 2005 shared expenses and the individual HRA
expenditures.Ms.Mehelich noted that the State Statute for HRA's allows a per diem of up
to$75.00 per meeting for the HRA Commissioners has not been included in the proposed
budget. She noted that the HRA Bylaws would need to be revised to reflect this change in
policy if desired by the Commission. Chair Wilson stated that he felt the issue should be
discussed with the City Council. He stated that the payment may help attract future
members.Commissioner Toth stated that he did not feel a need for the payment,but that he
would not vote against it.
The Commission will discuss this issue further at a future meeting.
MOTION BY COMMISSIONER TOTH AND SECONDED BY
COMMISSIONER LIESER TO APPROVE THE PROPOSED 2005 HRA
BUDGET. THE MOTION CARRIED 4-0.
MOTION BY COMMISSIONER TOTH AND SECONDED BY
COMMISSIONER LIESER TO APPROVE RESOLUTION NO.04-02,A
RESOLUTION ESTABLISHING THE TAX LEVY FOR THE ELK RIVER
HOUSING AND REDEVELOPMENT AUTHORITY FOR COLLECTION IN
2005. MOTION CARRIED 4-0.
8. Housing Issues
Commissioner Motin reviewed his letter to the Planning Commission dated July 25,2004
regarding affordable housing issues.
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August 2,2004
Commissioner Toth stated that it is not the HRA's intent that affordable housing should be
provided in every development,but that the HRA and City Council needs to keep watch for
future needs.
Chair Wilson thanked Commissioner Motin for his letter to the Planning Commission.
Ms.Mehelich noted that the MN NAHRO(National Association of Housing&
Redevelopment Officials) 2004 Annual Conference will be held September 15- 17,2004 in
St.Cloud,and that the Commissioners should contact staff for registration if they were
interested in attending.
9. Other Business
Ms.Mehelich noted that the September HRA meeting will be held on Tuesday,September
7th,due to the Labor Day holiday on Monday,September 6th.
10. Adjournment
There being no other business,MOVED BY COMMISSIONER MOTIN AND
SECONDED BY COMMISSIONER LIESER TO ADJOURN THE MEETING.
MOTION CARRIED 4-0.
The meeting of the Elk River Housing and Redevelopment Authority adjourned at 5:53 p.m.
kG f
Debbie Huebner
Recording Secretary
•