4.1A 04-07-2014 (DRAFT) Elk • Meeting of the Elk River
River Housing and Redevelopment Authority
Held at the Elk River City Hall
Monday, March 3, 2014
Members Present: Chair Wilson, Commissioners, Kuester, Chuba, and Motin.
Commissioner Toth arrived at 5:34 p.m.
Members Absent: None
Staff Present: Economic Development Director Brian Beeman, Community
Operations and Development Deputy Director Jeremy Barnhart, and
Sr.Administrative Assistant/Recording Secretary Debbie Huebner
Also Present: Tony Schertler, Senior Vice President of Springsted, Inc.
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Purs ` . to d ll and e thereo e t ting of lk River Housing Inttl
Rede menttuthori gas called t' rd 5:30 p. Chair Wilson. iim
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: ved by Co issione and seconded by C missioner Kuest
approve the March 3,2014 agenda. Motion carried 4-0.
4. Consent Agenda
Moved by Councilmember Motin and seconded by Councilmember Chuba to
approve the following consent agenda:
4.1 Minutes
• February 3,2014, Regular Meeting
4.2 Check Register
4.3 Balance Sheet
4.4 Revenue/Expenditure Report
Motion carried 4-0.
5. Open Forum
No one appeared for Open Forum.
Housing and Redevelopment Minutes Page 2
March 3,2014
6. Public Hearings
There were no public hearings.
7.1 Black Hawk Woods TIF Application
Brian Beeman reviewed the staff report to the HRA.
Commissioner Toth arrived at this time.
Discussion followed regarding the scoring of the Black Hawk Woods TIF
application. Commissioner Motin had concerns regarding job creation and wage
levels. Mr. Shertler stated that the numbers were provided by the applicant and have
not been audited. Commissioner Chuba stated that he could support recommending
a public hearing,but he also had concerns whether or not tax credits should be
considered for this project.
Mr. Shertler explained the challenge to fit housing projects into the scoring. He
stated that once the public hearing is held, the next step is to do "but for test" or
"needs analysis" on the development projected return.
Commissioner Toth stated he agreed with Commissioner Motin regarding the
scoring. More discussion followed regarding job creation. Chair Wilson stated that
he understood the HRA's concerns but feels the project has merit.
Commissioner Kuester stated that she feels the Council will need to resolve the
technical issues,unless they maybe just don't want TIF housing projects.
Commissioner Motin stated that other types of housing may be better fit, such as a
senior housing care facility,where there would be more employees. He stated he
could support recommending a public hearing but he was not sure where the project
will be going.
Commissioner Chuba felt 84 units was a lot of units to fill. He questioned what
might happen to the taxes if the project failed.
Discussion followed regarding the proposed 25-year term, and whether or not a
shorter term would be better.
Mr. Shertler stated that other communities are struggling with affordable housing
where wages do not support the housing that is available. He stated that if the City
Council proceeds with the public hearing, they can begin negotiations.
Commissioner Toth asked if the HRA's comments will go to the City Council.
Commissioner Motin stated that he will request the item be taken off the Consent
Agenda and he will express the HRA's concerns. Commissioner Toth stated that he
feels there is a need for this type of facility, but he is not sure if TIF is the method of
financing to be used for the project.
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Housing and Redevelopment Minutes Page 3
March 3,2014
Motion by Commissioner Kuester and seconded by Commissioner Toth to
recommend the City Council set a public hearing for Black Hawk Housing
Tax Increment Financing project (TIF District No. 24), for Monday,April 21,
2014. Motion carried 5-0.
8.1 Economic Development Specialist (Verbal Update)
Mr. Beeman stated that 13 applications were received and 5 candidates were
interviewed. Colleen Eddy was selected to fill the Economic Development Specialist
position, contingent upon City Council approval at tonight's meeting. If approved,
Ms. Eddy will start work March 24, 2014.
9. Adjournment
There being no further business, Chair Wilson adjourned the meeting of the Elk
River Housing and Redevelopment Authority at 5:58 p.m.
Minutes prepared by Debbie Huebner.
Stewart Wilson, Chair
Housing&Redevelopment Authority
Tina Allard, City Clerk
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