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5.0. HRSR 09-07-1993 ELK RIVER HOUSING AND REDEVELOPMENT AUTHORITY T TO: HOUSING AND REDEVELOPMENT AUTHORITY FROM: WILLIAM RUBIN, ECONOMIC DEVELOPMENT COORDINATO DATE: SEPTEMBER 2, 1993 SUBJECT: AGENDA MEMO FOR SEPTEMBER 7TH HRA MEETING 5 . Jackson Square Parking Lot Improvements At the HRA's August 12th meeting, Commissioners reviewed several illustrations concerning improvements to the Jackson Square parking lot. By way of HRA action, these illustrations were referred to the Elk River Downtown Development Corporation for review and comment. The Development Corporation met on Wednesday, September 1, 1993, to review the parking improvement concepts. Enclosed in the agenda packet is the concept the Development Corporation recommends . It is a hybrid design that the group came up with at the meeting. The group took Concept No. 3 (attached) and revised it with the following: • - Parallel parking on the east side of Jackson Place - Angled parking on the west side of Jackson Place - The creation of a right turn only bulb from Jackson Place to U.S. Highway 10 (Jackson Place continues as a one-way, northbound street) - Additional stalls are created in the parking area near Highway 10 by way of the right turn only bulb - The balance of the parking stalls in the lot are angled - Movement with the lot is counter-clockwise; a vehicle enters or exits onto Jackson Place from Main Street; vehicles may exit onto Highway 10, or, may exit onto Jackson Avenue (that is,"exit only" ) This design retains the flag pole and evergreens in the middle of the lot. Action Requested In order to keep the improvement project on schedule, the HRA is asked to finalize this proposal and forward a recommendation on to the City Council for implementation. The rationale here is that the parking lot is owned by the City, but it will rely on the HRA to fund the improvements . Therefore, the City Council should have the • final decision on the proposed improvements to Jackson Square. P.O. Box 490 • 13065 Orono Parkway • Elk River, MN 55330-1743 • (612) 441-7420 • Fax: (612) 441-7425 Equal Opportunity Housing and Equal Opportunity Employment • 6 . Former Railroad Parking Lot Improvements Street/Park Superintendent, Phil Hals, and his staff have put together an illustration for certain parking lot improvements on the former railroad property bounded by Jackson Avenue, U.S. Highway 10, Hunt' s Feeds, and the railroad tracks . This illustration was also reviewed by the Development Corporation at its meeting on September 1st. It may be appropriate to implement improvements on this site due to the cost savings relative to the curbing work required by the Jackson Square site and for this site. That is, should the HRA-City decide to move forward with parking and landscape improvements here, a curbing contractor can simply go from one site to the other rather than to return in, say the spring, at what would likely be a higher cost. This illustration is an attempt to continue the momentum of certain parking improvements and landscaping enhancements that are now occurring at or along Highway 10. HRA funds for improvements here are available in the 1993 budget under the category of parking lot improvements. Should the cost of both Jackson Square and the former railroad property exceed what was set aside for • this item, additional funds would be available under the category "Reserved for Future Projects" . Action Requested If the HRA Commissioners are so inclined, they may wish to move forward with parking and landscape enhancements on this site too. As with Jackson Square, the Commissioners should forward a recommendation to the City Council for implementation. 7 . HRA Funds for a Redevelopment Project At a public hearing on August 16, 1993, the Elk River City Council approved a modification to Tax Increment Financing (TIF) Plans No. 1 and No. 3. This modification will enable a developer, Mr. Dennis Chuba, to be reimbursed for certain eligible TIF expenditures as authorized by Minnesota Statutes . TIF funds will be used for demolition activities, site preparation activities, compaction of foundation areas, etc. All of this will result in the construction of a new office townhouse facility immediately adjacent to Mr. Chuba' s 1992 project at Main Street and Evans Avenue. • In approving the Plan modification, the City Council also passed a motion requesting that the Elk River HRA consider funding 50% of the eligible redevelopment costs, up to a 0 maximum of $25,000 . This action will help the City Council maximize the finite pool of TIF funds available from Districts No. 1 and No. 3. Staff estimates that Districts No. 1 and No. 3 will have excess funds totalling approximately $410,000 if the City makes a $50,000 expenditure to this redevelopment project. Assuming the HRA participates, the TIF balance will grow by $25,000 to a total estimated at $435,000 . Action Requested The HRA is asked to consider a request by the Elk River City Council to fund 50% of the redevelopment project's eligible costs, up to a maximum of $25,000. 8. Reimbursement for a Change of Order Elk Terrace Limited Partnership, the owner and developer of the 1992 redevelopment/housing project known as Elk Terrace Apartments, requests reimbursement for a change order associated with the capping off of utility lines . Per its request, the services were not located where the City representatives suggested, and, the subsequent excavation, compaction, and street patching was done in vain. Reimbursement in the amount of $2, 100 is requested. • The Finance Director is currently reviewing the status of the TIF District No. 10 account in order to determine if additional, unspent funds are available to honor the request for reimbursement. This information will be available at Tuesday' s HRA meeting. Please take note that a copy of the TIF budget for District No. 10 is included in the agenda packet. The budget discloses that $2,600 was set aside for capping utilities. The reimbursement of $2, 100 is for costs over and above the budgeted amount. Also included in the packet is correspondence from the developer, contractor, architect, etc. In terms of precedence, the EDA approved additional costs for the Mork project - also a TIF financed transaction. •